Gold prices moved lower during Asian trading on Wednesday, retreating from recent highs as investors took profits following a strong rally earlier in the week. Markets also remained cautious amid elevated geopolitical risks and ahead of key U.S. economic data releases.
Spot gold slipped 1% to $4,450.55 per ounce by 02:13 ET (07:13 GMT), while U.S. gold futures for March delivery declined 0.8% to $4,460.55 per ounce.
Bullion had surged over the previous two sessions, driven by strong safe-haven demand after a sharp escalation in tensions between the United States and Venezuela.
Geopolitical risks linger as U.S. data comes into focus
The rally lost steam on Wednesday as traders locked in gains and shifted attention to broader macroeconomic signals. A modest rebound in the U.S. dollar also weighed on gold prices by making the metal more expensive for buyers using other currencies.
Geopolitical uncertainty remained high after U.S. forces carried out operations in Venezuela that led to the capture of President Nicolás Maduro. The development unsettled global markets and reinforced demand for traditional safe-haven assets, including gold.
U.S. President Donald Trump said Washington plans to sell Venezuelan oil and is in discussions with Caracas over future energy arrangements. While the potential return of Venezuelan crude to global markets helped ease some oil supply concerns, it did little to reduce broader geopolitical anxiety.
Investor focus is now turning to upcoming U.S. economic data, with particular attention on Friday’s nonfarm payrolls report. The figures are expected to play a key role in shaping interest rate expectations for the Federal Reserve.
Markets are currently pricing in two additional Fed rate cuts later this year, a backdrop that has generally supported gold by lowering the opportunity cost of holding non-yielding assets.
Broader metals retreat from record levels
Elsewhere in the metals complex, prices also pulled back as traders reassessed risk following recent sharp gains.
Silver fell 2.1% to $79.26 per ounce, while platinum plunged 6% to $2,302.60 per ounce.
Copper prices also eased from record highs. Benchmark copper futures on the London Metal Exchange slipped 0.5% to $13,133.20 per ton, while U.S. copper futures dropped 1.2% to $6.02 per pound.
Both contracts had touched all-time highs earlier in the week before reversing lower.
