Gold streak ends as prices face sharp correction
Gold prices fell sharply this week, breaking a nine-week advance as traders pulled back from recent highs. The metal dropped 3.3 percent to settle at $4,113.05 per ounce in New York on Friday, while 24-carat gold in India closed at 122,419 rupees per 10 grams.
The retreat followed a rally that began in mid-August and peaked on Monday at a record $4,381.52 per ounce. Weak U.S. inflation data on Friday helped limit losses by raising expectations for additional Federal Reserve rate cuts before year-end.
Market watchers noted that an anticipated meeting between President Donald Trump and Chinese leader Xi Jinping could ease trade tensions and reduce demand for the safe-haven asset. Heavy selling from gold-backed exchange-traded funds added to the downward pressure.
The precious metal remains up 57 percent this year, supported by central bank buying and signals from the Fed. Ventura Securities forecasts Indian prices could reach 150,000 rupees per 10 grams by 2026.
