Gold Retreats After Record Rally

Gold prices dipped slightly on Friday as investors took profits following a recent surge driven by Middle East tensions and U.S. election uncertainty. Despite this, palladium prices continued to climb, hitting a 10-month high.

Spot gold fell 0.1% to $2,734.25 per ounce, after reaching an all-time high of $2,758.37 on Wednesday. U.S. gold futures remained relatively stable at $2,748.90.

Key Factors Driving Gold and Palladium Prices:

Middle East Tensions: Ongoing conflicts in the region have increased demand for safe-haven assets like gold.

U.S. Election Uncertainty: The tight race between the two major candidates has added to market volatility and boosted gold’s appeal.

Federal Reserve Policy: The recent rate cut by the Fed has supported gold prices.

Palladium Supply Concerns: Potential sanctions on Russian palladium exports have led to increased demand and higher prices.

While gold prices have seen significant gains, analysts caution against assuming continued upward momentum. Some experts believe a price correction is likely in the near future.

Other Precious Metals:

Silver: Steady at $33.78 per ounce after hitting a 12-year high earlier this week.
Platinum: Down 0.2% to $1,023.90.