Amid a wave of profit-taking selling… gold continues to decline from its record peak

Gold prices continued to decline today, amid profit-taking sales after their recent record high, while investors await US inflation data this week, which may give additional indications on the path to lowering interest rates.

The price of gold in spot transactions fell 0.3 percent to $4,113.54 per ounce at 01:15 GMT. Gold fell by more than five percent yesterday, Tuesday, recording its largest decline since August 2020.

However, US gold futures for December delivery rose 0.5 percent to $4,129.80 an ounce.

Gold prices jumped by about 56 percent this year, to their highest level ever at $4,381.21 on Monday, supported by geopolitical and economic uncertainty, bets on lowering interest rates, and central banks’ continued purchase of the yellow metal.

Investors are now looking forward to the US September CPI report on Friday. The release of the report was postponed due to the US government shutdown.

Gold tends to rise when interest rates decrease, as it reduces the opportunity cost of owning the precious metal that does not generate a return.

As for other precious metals, the price of silver in spot transactions fell 0.9 percent to $48.29 per ounce, platinum fell 1.1 percent to $1,534.44, and palladium stabilized at $1,406.76.