Gold Prices Decline Amid Record Profit-Taking
Gold declined on Thursday as traders took profits following record gains over the previous three sessions, while comments from U.S. President Donald Trump regarding the Federal Reserve Chair dampened demand for the precious metal.
Spot gold fell by 0.6% to $4,594.66 per ounce, after reaching a record high of $4,642.72 in the previous session.
U.S. gold futures for February delivery dropped by 0.8% to $4,599.50.
Analysts say concerns about the Federal Reserve’s independence and confidence in U.S. assets have increased demand for gold as a safe-haven asset.
Investor focus on Thursday will be on initial U.S. unemployment claims for the first week of January to assess labor market conditions for indications on the monetary policy trajectory.
Generally, gold, which yields no interest, tends to rise when interest rates are low and during periods of geopolitical and economic uncertainty.
For other precious metals, silver dropped by 5.3% in spot transactions to $87.88 per ounce, having hit an all-time high of $93.57 earlier in the session.
Platinum also fell in spot transactions by 4% to $2,288.05 per ounce, retreating from a record peak of $2,478.50 reached on December 29.
