NEW YORK: Precious metals retreated sharply on Monday, with silver and platinum falling from record highs hit earlier in the session, as investors booked profits after recent rallies.
Spot gold fell 3.6percent to USD4,367.97 an ounce by 9:57 a.m. ET (1457 GMT) after hitting a record USD4,549.71 on Friday. US gold futures for February delivery also lost 3.6 percent to USD4,387.40. Platinum dropped 12percent to USD2,157.09/oz after touching a record peak of USD2,478.50 earlier in the session, while silver shed 7.9 percent to USD72.87 an ounce, also retreating from a record high of USD83.62 hit earlier in the session. Spot palladium plunged 15percent to USD1,634.04/oz.
“All the metals moved up to recent and all-time highs. We are seeing profit-taking pullbacks off of those spectacularly high levels,” said David Meger, director of metals trading at High Ridge Futures.
Gold has surged about 65 percent this year. Platinum and palladium are also on track for annual gains.
Silver has outperformed all with a 150 percent gain so far, driven by its critical mineral status, supply shortages and rising industrial and investor demand.
“I believe that the underlying fundamentals of (silver) supply constraints remain factors in the market and we still have positive prospects going into 2026,” Meger added.
US President Donald Trump said on Sunday that he and Ukrainian President Volodymyr Zelenskiy were “getting a lot closer” to an agreement to end the war in Ukraine.
Trump is also preparing to push for progress on the stalled ceasefire in Gaza when he meets with Israeli Prime Minister Benjamin Netanyahu later on Monday.
Gold is a traditional safe-haven asset that performs well during periods of economic and geopolitical uncertainty. It also thrives in a low-interest-rate environment as a non-yielding asset.
Markets are currently pricing in two rate cuts next year and awaiting the release of the Fed’s December meeting minutes on Tuesday for further guidance on its policy path.
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