Gold prices slipped to levels near a two-week low on Tuesday, as year-end profit-taking weighed on precious metals following a strong rally that pushed bullion to record highs last week. Spot gold dipped after traders locked in gains, reflecting a broad pullback across the bullion sector amid reduced trading activity and profit booking as the year ends.
By early Asian trade, spot gold was trading slightly higher at around $4,347.67 per ounce, up modestly after earlier losses, though still close to its lowest point since mid-December. In the previous session, gold hit an all-time high above $4,549 before retreating as investors took profits. U.S. gold futures for February delivery also saw mild gains following the pullback.
The pullback in bullion comes alongside strength in the U.S. dollar, which hovered near a one-week high against other major currencies, making dollar-priced gold more expensive for holders of other currencies. Silver and other precious metals also experienced profit-led selling after extended rallies, with silver retreating from record peaks and platinum and palladium easing back from recent highs.
The broader rally in precious metals this year has been driven by expectations of U.S. Federal Reserve rate cuts, geopolitical tensions adding safe-haven demand, central bank purchases, and robust investment interest via exchange-traded funds. Still, the recent profit booking underscores the volatility and short-term corrections that can occur following sharp price advances.
In summary, gold’s near-two-week low reflects trader profit-taking after historic gains in 2025, while the market remains sensitive to currency moves and investor sentiment as the year closes.
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