Gold falls from record high on profit-taking; set for best month in 5 years
Gold fell on Tuesday as investors booked profits after prices hit a record high earlier in the session, while concerns of a U.S. government shutdown and increased bets of a Federal Reserve rate cut limited losses.
Spot gold fell 0.9% to $3,800.34 per ounce, as of 0924 GMT after rising 1% to hit a record high of $3,871.45 during Asia hours. Bullion has risen 10.4% so far in September, and is on track for its biggest monthly percentage gain since July 2020.
Gold fell on Tuesday as investors booked profits after prices hit a record high earlier in the session, while concerns of a U.S. government shutdown and increased bets of a Federal Reserve rate cut limited losses.
Spot gold fell 0.9% to $3,800.34 per ounce, as of 0924 GMT after rising 1% to hit a record high of $3,871.45 during Asia hours. Bullion has risen 10.4% so far in September, and is on track for its biggest monthly percentage gain since July 2020.
U.S. gold futures for December delivery fell 0.7% to $3,827.80.
Swissquote external analyst Carlo Alberto De Casa said gold has pared gains on profit-taking after rising as much as 1% during Asia hours and "so far this is just a technical correction and we are not talking about an inversion."
U.S. President Donald Trump and his Democratic opponents appeared to make little progress at a White House meeting aimed at heading off a government shutdown that could disrupt a wide range of services as soon as Wednesday.
"The risk of shutdown for gold is positive because it means uncertainty and that the Federal Reserve doesn't have clear data because that could arrive late," De Casa added.
Elsewhere, spot silver lost 2% to $45.99 per ounce and has climbed 16.1% so far this month. Platinum fell 4.5% to $1,529.80 and palladium lost 3% to $1,229.50.
Source: Reuters
