Profit-Taking Drags Down Gold and Silver Prices Amid Fed's Cautious Tone

In a significant market shift, gold and silver prices retreated from record highs on Wednesday, as traders opted to book profits at elevated levels. This decline comes as markets considered cautious statements from US Federal Reserve Chair Jerome Powell on future interest rate cuts.

On the Multi Commodity Exchange, gold futures for October delivery decreased by 0.36%, falling by Rs 408 to Rs 1,13,428 per 10 grams. Similarly, the December gold futures fell by 0.31%, marking a reduction of Rs 353 to Rs 1,14,486 per 10 grams.

Commodities experts attributed the decline to profit-taking and Powell's emphasis on balanced monetary policy, indicating a cautious approach to interest rate cuts in light of inflation and potential impacts on labor markets.

(With inputs from agencies.)