Gold Prices Take a Step Back

After reaching an unprecedented peak of $3,500, gold prices began to decline on Wednesday, marking a 3% drop. This shift comes as positive developments in US-China trade relations and reduced concerns over Federal Reserve autonomy emerge.

Trade Relations and Federal Reserve in Focus

US Treasury Secretary Scott Bessent expressed optimism about nearing a reduction in trade tensions with China, labeling the current tariff dispute as "unsustainable." Additionally, President Donald Trump softened his stance on Federal Reserve Chair Jerome Powell, retracting previous threats of dismissal.

Market Movements

By 9:55 am ET, gold had fallen 3.13% to $3,275.94 per ounce. In contrast, silver saw a 1.20% increase, trading at $32.90 per ounce, while platinum and palladium also experienced gains, settling at $974.66 and $931.30 per ounce, respectively.