Gold prices drop as investors cash in on profits

​Gold prices fell to around $4 590 per ounce on Thursday as investors booked profits following a fresh record in the previous session, while a softer tone from President Donald Trump reduced safe-haven demand, according to Trading Economics.

Reuters reported that gold surged to a record high on Wednesday, with silver rising in its wake, as geopolitical and economic uncertainties drove investors toward safe-haven assets while expectations of Federal Reserve rate cuts added further momentum.

Trump said reports indicated that Iran’s crackdown on anti-government protesters was easing and that large-scale executions were not planned, suggesting a wait-and-see approach to the crisis. He also noted that he has no plans to remove Fed Chair Powell despite a Justice Department probe, though he added it is “too early” to say what he might ultimately do.

On the data front, November producer prices, both headline and core, came in softer than expected, reinforcing signals from a tame December CPI report. The figures supported expectations that the Fed has room for multiple rate cuts this year. However, some policymakers remain cautious, warning that inflation pressures may be more persistent than anticipated.

BUSINESS REPORT