Washington: Gold prices steadied on Tuesday after touching record levels, as investors chose to book profits following a sharp rally driven by global uncertainty and strong safe haven demand.
In international markets, spot gold traded just below 4,600 dollars per ounce after hitting an all time high earlier this week. The slight pullback came as some investors locked in gains, though overall sentiment around the precious metal remains firm.
Analysts say gold has been supported by ongoing geopolitical tensions, concerns over the global economy, and expectations that major central banks may move toward interest rate cuts later this year. These factors have reduced the appeal of riskier assets and increased demand for gold as a store of value.
In India, domestic gold prices also remained close to record highs, reflecting strong global trends and a weaker rupee. However, elevated prices have begun to weigh on retail demand, with jewellers reporting cautious buying from consumers.
Market participants noted that the recent rally has been unusually strong, making short term profit booking natural. Despite this, many analysts believe gold prices could remain elevated in the coming months if global risks persist and borrowing costs ease.
Other precious metals showed mixed movement, with silver holding near its peak levels, while platinum and palladium saw some volatility.
Looking ahead, traders are closely watching upcoming economic data from the United States and further developments on the geopolitical front, which could influence the next move in gold prices.