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Gold prices fell more than 1% on Wednesday as investors continued to profit from this week’s rise in gold prices to a record high.
“It appears that the recent decline in gold prices is just a technical correction, which is to be expected. After continuing to rise over the past few weeks and hitting all-time highs,” Taylor Krystkowiak of Themes ETFs told Dow Jones.
Front-month Comex gold (XAUUSD:CUR) for May delivery has been settled -1.3% to $2,389.20 an ounce, the contract’s second consecutive decline since hitting a record high earlier this week.
ETF:(NYSE:GLD), (NYSE:GDX), (GDXJ), (IAU), (NUGT), (PHYS), (GLDM), (AAAU), (SGOL), (BAR), (OUNZ)
Gold futures extended losses after Wednesday’s close on the New York Mercantile Exchange as minutes from the Federal Reserve’s April 30-May 1 meeting showed concerns it would take longer than previously expected for inflation to rise to 2%. Gain greater confidence.
“You’re going to see some week-long liquidation, some profit-taking by short-term futures traders; all of that is not unusual in a market that’s hitting all-time highs,” Kitco analyst Jim Wyckoff told Reuters.
