Precise Investors Editorial Team
Spot gold dropped 1.2% to $5,167.28 per ounce GMT, snapping a four-session winning streak
Gold prices dropped on Tuesday as investors booked profits after bullion rose more than 2% in the previous session, while pressure from a stronger dollar also weighed on the yellow metal.
Spot gold dropped 1.2% to $5,167.28 per ounce by 0538 GMT, snapping a four-session winning streak and declining from a more than three-week high hit earlier in the day.
U.S. gold futures for April delivery were down 0.7% at $5,187.40.
Obviously, we had a meaningful rally in gold yesterday. We have a little bit of a digestion here, and I think it’s noteworthy that we don’t see the panic that we saw on Wall Street extend into the Asian market, said Ilya Spivak, head of global macro at Tastylive.
Asian stocks stabilised after a wobbly start as a new AI-linked selloff on U.S. stock market rattled investors, with sentiment also hurt by heightened anxiety over U.S. President’s tariff policy and geopolitical tensions.
The dollar edged up, making dollar-priced bullion more expensive for holders of other currencies.
U.S. President on Monday warned countries against backing away from trade deals negotiated recently with the U.S. after the Supreme Court struck down his emergency tariffs, saying that if they did, he would hit them with much higher duties under different trade laws.
Elsewhere, U.S. central bank Governor Christopher Waller said he was open to leaving interest rates on hold at the March meeting if the upcoming February jobs data indicated the labour market had “pivoted to a more solid footing” after a weak 2025.
Markets currently expect three 25-basis-point rate cuts this year, according to CME’s FedWatch Tool.
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