Gold and silver prices experienced a significant decline on June 23rd, driven by concerns over rising interest rates that sparked a global sell-off in tech stocks, which subsequently spread to metals markets. Gold futures fell by 1.3%, settling at $4,149.40 per ounce, while silver futures plunged more than 5% to close at $62.07 per ounce.

Market expectations for a year-end interest rate hike increased last week, putting further pressure on gold prices. Concurrently, Wall Street's outlook on gold is shifting, with several banks revising their price forecasts downward. Michael Widmer, a commodity strategist at Bank of America, noted that the bank's previous target of $6,000 per ounce now appears unlikely, as the inflationary backdrop remains "uncomfortable" and could prompt tighter monetary policy.

In a report released on the 23rd, Deutsche Bank stated that "hawks are driving out the bulls" in the gold market and lowered its third-quarter price target to $4,300 per ounce, assuming the U.S. Federal Reserve holds rates steady. The report also indicated that if the Fed implements three to four rate hikes, gold prices could potentially fall to $3,800 per ounce.

Analyst Ricardo Evangelista from ActivTrades, cited in a Reuters report, suggested that over the medium to long term, gold prices are likely to be primarily driven by monetary policy, with the actions of the Federal Reserve and the trajectory of the U.S. dollar remaining particularly crucial factors. The Fed's hawkish stance last week reinforced the momentum for a stronger dollar, which is creating headwinds for gold.

Analysis from Hualian Futures indicates that gold underwent a substantial correction in the second quarter, erasing its first-quarter gains and releasing short-term risks. From a medium-term perspective, gold's financial attributes are strong, and the Federal Reserve has signaled since May that it may not cut rates and could even hike them, with expectations for a June increase intensifying. As these rate hike expectations have surpassed market forecasts, medium-term risks for gold persist. While short-term risks have been released, medium-term risks remain, although the long-term positive factor of de-dollarization remains unchanged. Consequently, gold is expected to remain in a pattern of weak, range-bound trading.