The precious metal has dropped about 8% from a record high on Oct 31, with losses accelerating after Donald Trump’s election victory last week. A gauge of the dollar has risen to a two-year high on expectations that a Trump presidency will lift economic growth and corporate profits. A stronger greenback makes commodities priced in the currency more expensive for most buyers.
Still, gold is up more than 20% this year, with gains supported by the Fed’s easing cycle, central bank purchases and heightened geopolitical and economic risks that have driven haven demand.
Spot gold fell 0.1% to US$2,563.19 ($3,438.83) an ounce as of 2.54 pm in Singapore. The Bloomberg Dollar Spot Index was down 0.2% after hitting the highest level since 2022 on Thursday. Silver and platinum fell while palladium gained.
