<strong class="font-semibold text-landing-text-primary">Gold futures crashed over 11% to below $4,900 per troy ounce on February 17, 2026, marking the precious metal's steepest single-day decline since the 1980s amid thin holiday trading and a surging U.S. dollar.</strong>
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Precious Metals Rout Accelerates in Asian Trading</strong></h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">Gold futures plummeted to $4,900 per ounce during Monday's session, extending a brutal selloff that began last week. The precious metal's dramatic reversal came as the <strong class="font-semibold text-landing-text-primary">U.S. dollar index</strong> strengthened 0.2% against a basket of major currencies, making dollar-denominated gold more expensive for international buyers.</p>
<strong class="font-semibold text-landing-text-primary">Silver futures</strong> amplified the decline, crashing over 25% from recent peaks to trade around $74.51 per ounce after reaching $120 last Thursday. The white metal's collapse represented one of the most severe single-session drops in precious metals history.
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Holiday Liquidity Crunch Amplifies Volatility</strong></h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">The market rout intensified due to <strong class="font-semibold text-landing-text-primary">thin trading volumes</strong> across major Asian financial centers. Mainland Chinese, Hong Kong, Singapore, Taiwan and South Korean markets remained closed for Lunar New Year celebrations, while U.S. markets were shuttered Monday for Presidents' Day.</p>
<p class="text-landing-text-secondary leading-relaxed mb-4">"The problem is volatility feeding on itself. As price swings intensify, liquidity thins," said Ole Hansen, head of commodity strategy at Saxo Bank. The lack of market participants created a vacuum where selling pressure faced minimal buying support.</p>
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Federal Reserve Policy Expectations Drive Dollar Rally</strong> </h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">Market expectations for <strong class="font-semibold text-landing-text-primary">three 25-basis-point Federal Reserve rate cuts</strong> this year, according to CME's FedWatch Tool, have supported the dollar's recent strength. The greenback's advance directly pressured gold prices, as non-yielding bullion becomes less attractive when interest rates rise.</p>
<p class="text-landing-text-secondary leading-relaxed mb-4">President Trump's nomination of <strong class="font-semibold text-landing-text-primary">Kevin Warsh as Federal Reserve Chair</strong> further boosted the dollar, as markets interpreted the selection as favoring more hawkish monetary policy. Warsh's historically conservative stance on inflation eased concerns about central bank independence.</p>
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Analysts Warn of Dangerous Parabolic Phase</strong></h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">"The continued surge across metals, especially gold and silver, is entering a dangerous phase," Hansen noted before the selloff accelerated. <strong class="font-semibold text-landing-text-primary">Bloomberg senior commodity strategist Mike McGlone</strong> warned that "the higher metals rise, the more likely 2026 will mark enduring price peaks."</p>
<strong class="font-semibold text-landing-text-primary">Goldman Sachs analysts</strong> had set a year-end gold price target of $5,400 just last week, with potential upside from increased private-sector investment. However, the rapid price appreciation created conditions for the current reversal.
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Silver's Epic Rally Faces Reality Check</strong></h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">Silver's decline from $120 to below $75 per ounce represented a <strong class="font-semibold text-landing-text-primary">40% correction</strong> from recent highs. <strong class="font-semibold text-landing-text-primary">JPMorgan analysts</strong> had previously cautioned that "Silver prices have already significantly overshot our forecasted averages, though calling a top is close to impossible in markets displaying near-parabolic price momentum."</p>
<p class="text-landing-text-secondary leading-relaxed mb-4">The industrial metal's volatility exceeded even gold's dramatic moves, reflecting silver's smaller market size and higher speculative interest.</p>
<h2 class="text-2xl font-bold text-landing-text-primary mt-10 mb-6"><strong class="font-semibold text-landing-text-primary">Geopolitical Tensions Fail to Support Metals</strong></h2>
<p class="text-landing-text-secondary leading-relaxed mb-4">Despite ongoing <strong class="font-semibold text-landing-text-primary">U.S.-Iran nuclear talks</strong> in Geneva and President Trump's indirect involvement in diplomatic negotiations, traditional safe-haven demand failed to cushion precious metals. The dollar's strength and technical selling overwhelmed geopolitical premium considerations.</p>
<strong class="font-semibold text-landing-text-primary">Platinum and palladium</strong> also declined, with platinum falling 0.8% to $2,025.05 per ounce and palladium dropping 1.5% to $1,698.10, suggesting broad-based precious metals weakness.
<p class="text-landing-text-secondary leading-relaxed mb-4">The selloff marked a dramatic reversal for assets that had reached multi-year highs amid inflation concerns and currency debasement fears. Market participants now await Tuesday's resumption of full global trading to assess whether the correction will continue or stabilize at current levels.</p>
<strong class="font-semibold text-landing-text-primary">Mentioned tickers</strong>: GC=F, SI=F, DX-Y.NYB, .DXY

# Gold Plunges Below $4,900 as Dollar Strength Triggers Mass Selloff

**Gold futures crashed over 11% to below $4,900 per troy ounce on February 17, 2026, marking the precious metal's steepest single-day decline since the 1980s amid thin holiday trading and a surging U.S. dollar.**

## **Precious Metals Rout Accelerates in Asian Trading**

Gold futures plummeted to $4,900 per ounce during Monday's session, extending a brutal selloff that began last week. The precious metal's dramatic reversal came as the **U.S. dollar index** strengthened 0.2% against a basket of major currencies, making dollar-denominated gold more expensive for international buyers.

**Silver futures** amplified the decline, crashing over 25% from recent peaks to trade around $74.51 per ounce after reaching $120 last Thursday. The white metal's collapse represented one of the most severe single-session drops in precious metals history.

## **Holiday Liquidity Crunch Amplifies Volatility**

The market rout intensified due to **thin trading volumes** across major Asian financial centers. Mainland Chinese, Hong Kong, Singapore, Taiwan and South Korean markets remained closed for Lunar New Year celebrations, while U.S. markets were shuttered Monday for Presidents' Day.

"The problem is volatility feeding on itself. As price swings intensify, liquidity thins," said Ole Hansen, head of commodity strategy at Saxo Bank. The lack of market participants created a vacuum where selling pressure faced minimal buying support.

## **Federal Reserve Policy Expectations Drive Dollar Rally** 

Market expectations for **three 25-basis-point Federal Reserve rate cuts** this year, according to CME's FedWatch Tool, have supported the dollar's recent strength. The greenback's advance directly pressured gold prices, as non-yielding bullion becomes less attractive when interest rates rise.

President Trump's nomination of **Kevin Warsh as Federal Reserve Chair** further boosted the dollar, as markets interpreted the selection as favoring more hawkish monetary policy. Warsh's historically conservative stance on inflation eased concerns about central bank independence.

## **Analysts Warn of Dangerous Parabolic Phase**

"The continued surge across metals, especially gold and silver, is entering a dangerous phase," Hansen noted before the selloff accelerated. **Bloomberg senior commodity strategist Mike McGlone** warned that "the higher metals rise, the more likely 2026 will mark enduring price peaks."

**Goldman Sachs analysts** had set a year-end gold price target of $5,400 just last week, with potential upside from increased private-sector investment. However, the rapid price appreciation created conditions for the current reversal.

## **Silver's Epic Rally Faces Reality Check**

Silver's decline from $120 to below $75 per ounce represented a **40% correction** from recent highs. **JPMorgan analysts** had previously cautioned that "Silver prices have already significantly overshot our forecasted averages, though calling a top is close to impossible in markets displaying near-parabolic price momentum."

The industrial metal's volatility exceeded even gold's dramatic moves, reflecting silver's smaller market size and higher speculative interest.

## **Geopolitical Tensions Fail to Support Metals**

Despite ongoing **U.S.-Iran nuclear talks** in Geneva and President Trump's indirect involvement in diplomatic negotiations, traditional safe-haven demand failed to cushion precious metals. The dollar's strength and technical selling overwhelmed geopolitical premium considerations.

**Platinum and palladium** also declined, with platinum falling 0.8% to $2,025.05 per ounce and palladium dropping 1.5% to $1,698.10, suggesting broad-based precious metals weakness.

The selloff marked a dramatic reversal for assets that had reached multi-year highs amid inflation concerns and currency debasement fears. Market participants now await Tuesday's resumption of full global trading to assess whether the correction will continue or stabilize at current levels.

**Mentioned tickers**: GC=F, SI=F, DX-Y.NYB, .DXY

Gold futures crashed over 11% to below $4,900 per troy ounce on February 17, 2026, marking the precious metal's steepest single-day decline since the 1980s amid thin holiday trading and a surging U.S....

Gold Plunges Below $4,900 as Dollar Strength Triggers Mass Selloff

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