Same Fear, Different Fallout: Oil and Gold's Diverging Collapse

AI Summary

Gold and oil prices diverged despite previous parallel movement driven by fears of escalating conflict between the United States and Iran. Gold experienced its steepest quarterly drop, touching lows not seen since November, while oil's collapse no longer shares the same market causes.

Gold and oil spent five months moving like they were tied to the same rope. Both caught a bid from fear that war between the United States and Iran would spiral into something markets couldn’t quite price, and both are unwinding that trade in the same quarter.  Look closer, though, and the two collapses have stopped sharing a cause. Gold fell for a third straight session Wednesday, dropping to $3,983.07 an ounce and touching its lowest level since November. The metal sank roughly 14% in the second quarter, its steepest quarterly decline…