Gold prices witnessed one of their largest one-day drops in recent years, raising questions about whether the record rally is coming to an end. Market reactions have been mixed, with some attributing the plunge to calming fears due to President Trump’s stances on the Federal Reserve and China. Conversely, others point to China’s warnings about ‘irrational trading’ and Trump’s criticisms of Fed Chair Powell as factors influencing gold’s volatility. Despite this, gold had previously surged to new record highs following Trump’s repeated attacks on the US Federal Reserve chief. These fluctuations highlight the ongoing uncertainty in the precious metals market.
— new from MarketWatch