Gold prices fell on Thursday as traders took profits after three consecutive sessions of record gains, while a less aggressive tone from U.S. President Donald Trump regarding the Federal Reserve chair and Iran reduced demand for the precious metal.
اضافة اعلان
As of 01:37 GMT, spot gold declined 0.6% to $4,594.66 per ounce, after hitting a record high of $4,642.72 in the previous session.
U.S. gold futures for February delivery fell 0.8% to $4,599.50.
Trump said on Wednesday that he has no plans to dismiss Federal Reserve Chair Jerome Powell despite a criminal investigation being conducted by the Department of Justice, adding that it is “too early” to reveal what he will ultimately do.
Analysts say concerns over the independence of the Federal Reserve, as well as confidence in U.S. assets, have boosted demand for gold as a safe-haven asset.
Meanwhile, U.S. retail sales exceeded expectations in November, while the Producer Price Index matched monthly forecasts but surpassed annual estimates, following weaker-than-expected core Consumer Price Index data for December released on Tuesday.
Traders still expect two interest rate cuts this year.
Investors’ focus today will be on U.S. weekly jobless claims for the first week of January to assess labor market conditions for clues about the path of monetary policy.
Gold, which yields no return, typically rises when interest rates are low and during periods of geopolitical and economic uncertainty.
Trump said Iran’s crackdown on protests in the country appears to be easing, while Tehran warned that it would strike U.S. military bases in the region if Washington launched an attack.
Among other precious metals, spot silver fell 5.3% to $87.88 per ounce after reaching an all-time high of $93.57 earlier in the session.
Platinum declined 4% to $2,288.05 per ounce, its highest level in a week, after hitting a record peak of $2,478.50 on December 29.
Palladium lost 2.5% to $1,753.53 per ounce, hovering near a one-week low. — (Reuters)
