FX.co ★ Gold Slips After Record, Still Poised for Q3 Rally

On Tuesday, gold prices retreated to $3,815 per ounce after reaching a new record high above $3,860 earlier that day. This adjustment was due to speculation that Chinese investors were reducing their holdings in anticipation of the Golden Week holiday. Despite this decline, gold is poised to end September with gains exceeding 10%, and achieve a 16% increase for the third quarter. The precious metal's value has been buoyed by global trade tensions, uncertainties surrounding the US economy, Federal Reserve interest rate cuts, and increased demand for safe-haven assets amid geopolitical tensions involving Ukraine-Russia and Israel-Hamas. Additionally, concerns over a potential US government shutdown have affected market sentiment this week. So far this year, gold has risen by approximately 47% and is on track to record its most significant annual increase since 1979.