Gold prices dipped on Tuesday, easing from a one-week high reached in the previous session when it rose nearly 3% towards record levels, while other precious metals also pared gains as the dollar steadied near a two-week high.
As of 0131 GMT, spot gold was down 0.3% at $4,434.50 per ounce. Bullion hit a record high of $4,549.71 on December 26, and finished the year up 64%, its best annual performance since 1979.
U.S. gold futures for February delivery edged 0.1% lower to $4,445.0.
The dollar held near a two-week high as trading began in Asia on Tuesday, making greenback-priced bullion more expensive for holders of other currencies, as market jitters from U.S. military action in Venezuela eased.
Minneapolis Federal Reserve President Neel Kashkari on Monday said inflation is slowly easing, but there is a risk the jobless rate could “pop” higher, increasing the likelihood of a rate cut.
Investors currently expect at least two rate cuts by the U.S. Fed this year while they look to non-farm payroll data due on Friday for more clues.
Toppled Venezuelan President Nicolas Maduro pleaded not guilty on Monday to narcotics charges after U.S. President Donald Trump’s capture of him rattled world leaders and left officials in Caracas scrambling to regroup.
The U.S. captured Maduro on Saturday, in an operation that reportedly caused civilian deaths, while Trump said Washington would take control of the country.
Non-yielding assets tend to do well in a low-interest-rate environment and during times of geopolitical or economic uncertainty.
Spot silver lost 0.3% to $76.29 per ounce, after hitting an all-time high of $83.62 on December 29. Silver ended the year with annual gains of 147%, far outpacing gold, in what was its best year on record.
Spot platinum was down 0.1% at $2,269.14 per ounce, after rising to an all-time high of $2,478.50 last Monday. It rose more than 5% earlier in the session to a one-week high.
Palladium traded 1.6% lower to $1,680.25 per ounce.
