Gold retreats after yesterday’s record high as investors take profits

Gold prices turned lower today, Aug. 13, with the start of investor profit-taking after the most active contract recorded a new record level at the end of yesterday's trading.

Bullion for December delivery eased by 0.18% to $2,499.40 an ounce at 11:45 am Makkah time, after hitting a record peak for the second time this month at $2,504/ounce at the end of yesterday’s session.

Spot prices also tumbled by 0.47%, or $11.68, to $2,461.22 per ounce, after notching the highest level since Aug. 2 earlier in today’s session, on the heels of investor profit-taking.

Likewise, silver futures for September delivery shed 0.87% to $27.77 per ounce, with platinum spot prices also down 0.69% to $937.41 per ounce.

“Gold had a solid start to the week though it eased moderately on some gentle profit-taking,” said Tim Waterer, chief market analyst at KCM Trade, Reuters reported.

He added, “Prices will benefit if the US inflation data comes in on the softer side of the ledger, which would reignite hopes of an aggressive rate cut from the Fed in September.”

Investors are awaiting the July reading of the US annual consumer price inflation due tomorrow, with forecasts suggesting that it will stabilize at 3%.

This shall follow the release of producer price inflation data for the same month later today, amid expectations for a 0.2% monthly rise, in line with the June reading.