Why Is Gold Falling? The Iran War, the Fed Hike and the Real-Yield Math Behind Gold’s 2026 Selloff

Gold is falling because the Iran war's oil shock pushed the Fed into hiking and lifted the US 10-year real yield to 2.90%, its highest level since 2008.

Gold prices have plummeted once more, defying escalating geopolitical tensions.

The underlying reality is straightforward: the oil shock stemming from the Iran war forced the Fed back into hiking rates.

As a result, nearly all of the rise in the 10-year Treasury yield has materialized through real yields, reaching about 2.9% in late September—the highes…