International gold prices have now declined for four consecutive months, with Wednesday's session pushing prices back to levels last seen in November 2025, signaling a technical bear market for the precious metal.

During Wednesday's trading, the international gold price fell below the $4,100 per ounce mark, hitting its lowest point since November of last year.

The current price represents a decline of over 26% from the peak of $5,598.75 per ounce.

A prevailing market view suggests that inflationary pressures, fueled by rising energy costs, may compel the U.S. Federal Reserve to implement a 25-basis-point interest rate hike later this year.

While gold is traditionally viewed as a hedge against inflation, interest rate increases typically exert downward pressure on non-yielding assets like bullion.

The most actively traded August gold contract on the New York Mercantile Exchange fell 3.6% on Wednesday to settle at $4,133.30 per ounce, marking its fourth consecutive daily decline.

According to Dow Jones Market Data, this closing level is the lowest since November 2025 and confirms a bear market entry, defined as a drop of more than 20% from the recent high in March.

The transition from the peak to a bear market took just 91 days, the fastest such shift since the peak of the 2008 financial crisis, which occurred over 23 days.

In a recent report, Citigroup forecast that if disruptions in the Strait of Hormuz persist through the summer, global gold purchasing demand could contract further.

The bank now projects that the gold price could potentially fall to $3,500 per ounce by September.

Citigroup has also revised its three-month target price for gold downward from $4,300 per ounce to $4,000 per ounce.