Feb 23 — Gold prices slid more than 1% on Tuesday, retreating from a three-week high reached earlier in the session, as a firmer U.S. dollar and profit-taking pressured prices while investors awaited further clarity on tariff plans from U.S. President Donald Trump.
Spot gold fell 1.1% to $5,172.11 per ounce by 08:27 GMT, snapping a four-session winning streak. U.S. gold futures for April delivery were down 0.6% at $5,191.50.
The U.S. dollar strengthened by 0.2%, making dollar-denominated bullion more expensive for holders of other currencies and weighing on demand.
“There was some profit taking as prices spiked to highs of around $5,249 per ounce,” said Zain Vawda, an analyst at MarketPulse by OANDA. “Another factor was the announcement of a new tariff by the Trump administration, which has provided some near-term clarity on the tariff question.”
Gold, traditionally viewed as a safe-haven asset, often attracts investor interest during periods of geopolitical and economic uncertainty.
On Friday, the U.S. Supreme Court ruled that Trump’s use of a 1977 emergency law to impose tariffs exceeded his authority. However, just hours later, Trump invoked a different statute and imposed a temporary 15% tariff on U.S. imports.
On Monday, Trump further warned countries against backing away from recently negotiated trade agreements, saying they would face significantly higher duties under alternative trade laws if they failed to comply.
Meanwhile, Iran and the United States are set to hold a third round of nuclear talks on Thursday in Geneva, according to Oman’s foreign minister, Badr Albusaidi.
Despite the day’s pullback, analysts said gold’s broader outlook remains constructive.
“The broader narrative for gold remains skewed to the upside,” Vawda said. “If we see further dollar weakness or an escalation in Middle East tensions, a move back toward the $5,210 level — and potentially fresh highs above the $5,249 mark — is well within reach.”
Elsewhere in the precious metals market, spot silver declined 0.3% to $87.94 per ounce, after touching a more than two-week high on Monday. Spot platinum edged down 0.2% to $2,149.04 per ounce, while palladium also slipped 0.2% to $1,739.69.
