Gold's 2.6% slide wipes out summer rally, testing $4,000 support

Gold fell 2.57% Thursday to $4,034.76 per ounce, erasing all gains since summer, with analyst Jesse Colombo calling the move "very bizarre" due to its disconnect from falling dollar index and bond yields. Colombo suspects possible U.S. yen intervention, noting the yen strengthened considerably while gold fell alongside the dollar, though he also cites AI stock liquidations and risk aversion ahead of next week's Fed meeting as contributing factors. Gold is now testing key support between $4,000 and $3,900 per ounce, where it bounced this summer; Colombo says a break below that level would be concerning, while lower yields may be cushioning the decline.