Gold prices slip from 1-year peak

Gold prices reversed their upward trajectory today, April 5, after the release of some economic readings raised concerns about an economic recession in the US.

Economic data revealed that the Institute for Supply Management's Purchasing Manager Index (PMI) of US services slowed more than expected in March, with private sector job growth also down last month.

A Reuters poll indicated analyst expectations that gold might maintain gains above the $2,000 level amid growing economic concerns. UBS analysts, meanwhile, forecast bullion prices to break records and reach $2,200 by the end of March 2024.

This week, the yellow metal’s prices climbed to their highest level in more than a year, as prospects for an end to the Federal Reserve’s monetary tightening cycle intensified.

In terms of trading, gold for June delivery contracted by 0.10%, or $2.60, to end at $2,035.60 an ounce.

Meanwhile, the US dollar index, which gauges the greenback's strength against a basket of six currencies, eked out a 0.30% gain to settle at 101.93 points at 08:56 pm Makkah time.