Gold fell further from last week’s record high, as easing trade-war concerns curbed demand for a haven.
Bullion slid as much as 1.6%, and is down about 6% since topping US$3,500 an ounce last week, when the metal’s rally had taken it into overbought territory.
Wild financial market moves stirred by U.S. President Donald Trump’s April 2 tariff announcements have eased, and investors are watching for any signs of progress in U.S. trade negotiations after Trump suggested another delay to his higher tariffs was unlikely. Asian economies are leading the way over their Western counterparts in trade talks with the administration.
While “a nervous sense of calm has returned” in the global marketplace, “the idea that multiple deals could be wrapped up within weeks seems overly optimistic,” said Charu Chanana, a strategist at Saxo Capital Markets Pte.

Gold’s recent selloff accelerated as traders bet on signs that its explosive rally may have run too hard and too fast. Hedge fund managers cut their net-long U.S. futures and options positions on the metal to the lowest in 14 months, the latest Commodity Futures Trading Commission data show.
Shifts in options positioning — which last week saw trading volumes on the SPDR Gold Shares ETF surpass a record 1.3 million contracts — could point to an overheated market in the short term as prices run ahead of fundamental drivers, according to Barclays Plc.
Still, the metal remains up by about 25% this year as Trump’s aggressive trade policy and fears about the global economy spurred demand for haven assets.
The gains have also been supported by inflows into bullion-backed exchange-traded funds, central-bank buying and signs of strong speculative demand in China, even as physical consumption in the world’s biggest buyer falls.
Gold for immediate delivery fell 1.3% to $3,277.05 by 11:08 a.m. in London. The Bloomberg Dollar Spot Index was steady. Silver declined, while platinum and platinum edged higher.
With assistance from Jack Ryan.
Sybilla Gross, Bloomberg News
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