October 1 Gold and Silver Prices: Declines from Pure Gold to Silver

According to the Korea Gold Exchange on October 1, prices for pure gold and silver showed an overall downward trend.

The main prices are as follows:

• Pure gold (Gold24k, 3.75g): buying price 798,000 won (down 0.38%, or 3,000 won, from the previous day), selling price 684,000 won (down 0.58%, or 4,000 won) • 18K gold (Gold18k, 3.75g): selling price 502,800 won (down 0.58%, or 2,900 won) • 14K gold (Gold14k, 3.75g): selling price 389,900 won (down 0.59%, or 2,300 won) • Platinum (3.75g): buying price 325,000 won (unchanged), selling price 263,000 won (down 0.38%, or 1,000 won) • Silver (3.75g): buying price 11,080 won (down 1.44%, or 160 won), selling price 9,220 won (down 1.52%, or 140 won)

International Gold Prices Post Sharp Decline in September... Interest Rates and Dollar Weigh on Market

International gold prices remained weak through the final trading day of September, showing a relatively large decline on a monthly basis. While major U.S. stock indices showed mixed movement, U.S. Treasury yields and the dollar's movement acted as factors weighing on gold prices.

The gold market's attention is focused on U.S. interest rate trends. U.S. inflation indicators came in below market expectations, easing some concerns about further tightening by the Federal Reserve, but long-term interest rates remaining at high levels continue to burden gold prices.

The dollar's value is also a key variable. The dollar index moved around the 101 level at the end of September, showing a monthly upward trend. As international gold prices are mainly denominated in dollars, a stronger dollar can raise the cost of purchasing gold for investors using other currencies.

Mixed Close on Wall Street... Gold Decline Continues

During the same period, the U.S. stock market closed mixed. The Dow Jones Industrial Average fell 0.86% to 50,908.79, and the S&P 500 ended the session down 0.25% at 7,652.03. Meanwhile, the Nasdaq Composite rose 0.24% to 26,861.06.

Although the stock market did not uniformly decline, gold prices continued to fall. Gold typically draws attention as a safe asset when financial market uncertainty grows, but recently interest rates, the dollar, and inflation outlooks have been interacting in complex ways, making it difficult to explain price movements solely through safe-haven demand.

Despite the price correction, investment demand for gold has not completely collapsed. Gold-related exchange-traded funds (ETFs) listed in the U.S. saw inflows during September, showing a divergence between short-term price trends and medium- to long-term investment demand.

Gold Price Outlook: Interest Rates, the Dollar, Fed Signals, and Geopolitical Risks

Going forward, international gold prices are expected to be influenced by the direction of U.S. Treasury yields, dollar movements, Federal Reserve monetary policy signals, international oil prices, and geopolitical factors. In particular, how long high interest rates persist is cited as one of the key variables that will determine the direction of the gold market.

[Note: This article is for investment reference purposes only and does not constitute investment advice. All investments are made at the individual's own discretion, and the final responsibility for buying and selling rests with the investor.]