Gold extends retreat from record high on profit-booking, trade optimism

Gold prices fell further on Wednesday, weighed down by signs of easing U.S.-China trade tensions and as investors took advantage of bullion’s recent record rally to take profits while awaiting U.S. inflation data due later this week. Spot gold was down 0.4% at $4,109.19 per ounce, as of 0236 GMT. Bullion fell more than 5% on Tuesday in its steepest fall since August 2020. U.S. gold futures for December delivery climbed 0.4% to $4,124.10 per ounce. “Simmering of trade tensions between the U.S. and China was the snowflake which caused the avalanche and reversal of gold’s momentum trade,” said StoneX senior analyst Matt Simpson.