World gold prices plummet, stock market moves in opposite directions

The world gold price witnessed the sharpest decline in more than 4 years, with a drop of more than 5% to 4,123.85 USD/ounce on October 21, after reaching a historical peak of 4,381.21 USD/ounce on October 20. This is the largest percentage drop since August 2020, although gold is still up about 60% year-to-date.

Gold bars in Incheon, west of Seoul, South Korea. Photo: Yonhap/TTXVN

“This decline was inevitable, and one wonders why it took so long,” said Fawad Razaqzada, an analyst at City Index and FOREX.com. “A number of factors came together at once – from hopes that the US and China would agree to extend the trade deal, to a recovery in the US dollar and generally positive risk sentiment.”

In the US stock market, the Dow Jones Industrial Average rose 0.47% to 46,924.74 points, setting a new record. Meanwhile, the S&P 500 was almost flat and the Nasdaq Composite fell slightly by 0.16%. Positive business results from leading US companies supported the market, with General Motors shares jumping about 15% after the carmaker announced better-than-expected profits and raised its full-year forecast thanks to lower tariff costs.

Asian stocks also rose, with Hong Kong and Shanghai indexes closing up more than 1%. Japan's Nikkei hit a record high after Sanae Takaichi was elected prime minister , becoming Japan's first female prime minister. The Japanese yen fell to a one-week low on expectations of a slower pace of interest rate hikes.

In Europe, the Paris stock market set a new intraday and closing record, boosted by a nearly 20% surge in financial services company Edenred after reporting sales that beat expectations.

Meanwhile, world oil prices also increased slightly, with Brent crude up 31 cents, or 0.5%, to close at $61.32 a barrel, while US WTI crude oil increased 30 cents, or 0.5%, to close at $57.82 a barrel.

Investors are focusing on a planned meeting between US President Donald Trump and Chinese President Xi Jinping at the APEC summit in South Korea next week. Mr. Trump said he expected to reach a “good” trade deal with Mr. Xi, although the meeting is still uncertain.

Source: https://baotintuc.vn/thi-truong-tien-te/gia-vang-the-gioi-lao-doc-thi-truong-chung-khoan-dien-bien-trai-chieu-20251022065317323.htm