Gold logs worst month since 2008; Eyes on April rebound

Gold fell more than 11% in March 2026, its worst monthly drop since 2008 and an end to an eight-month advance. Prices then climbed above $4,700 in early Asian trading on April 1, with several market commentators pointing to support near the March 23 lows.

The decline followed late-February U.S. and Israeli strikes on Iran that closed the Strait of Hormuz and pushed crude oil higher. Rather than drawing safe-haven demand, bullion slid through March as some investors wagered that higher energy costs could prompt the Federal Reserve to keep borrowing costs elevated or lift rates again.

Sprott Money linked much of the selloff to fears of fresh rate hikes, calling the view that higher oil automatically forces the Fed to act “lunacy.” The firm wrote that prices could recover into April as those concerns ease.

Economist Peter Schiff has highlighted the March 23 low as a likely floor and argued that April could be gold’s strongest month since 1980. In a March 31 post, he wrote:

“Sure, the Dow rose 2.4% today, but gold rose 3.8% and silver rose 7.3%. That means in terms of real money the value of U.S. stocks fell. Expect more of the same as the consequences of larger federal deficits, a weaker dollar, and rising inflation continue to erode real values.”

The slump extended to miners. Market commentary account The Kobeissi Letter reported that 95% of stocks in the VanEck Gold Miners ETF were in bear-market territory. The share of constituents meeting that threshold jumped about 850% over the past four weeks as gold-mining shares dropped roughly 25%, putting the group in a bear market for the first time since 2023. The account noted that a similar reading in late 2023 preceded a multi-year rally of more than 300%.

Market focus in early April centers on geopolitical risks and the path of U.S. interest rates, with several analysts viewing late-March levels as potential near-term support for the metal.