Gold prices suffered the biggest decline in more than a decade

The decline in the price of gold, traditionally considered a safe haven in times of uncertainty, occurred because investors decided to realise profits after record growth. An additional reason was optimism ahead of a new round of trade negotiations between American and Chinese officials.

In the market today, an ounce of gold has been traded at the price of $4,141,48, which represents less than 0.4 percent. The day before Tuesday, the immediate price of gold dropped by 6.3 percent to $4,082,03 per ounce after it had reached a record rate of $4,381,21, reports Can.

U.S. gold contracts completed the day with a decline of 5.7 percent to $4,087,70, the largest decline since April 2013. Silver and Platine prices also dropped sharply on Tuesday, with 7 percent and 5 percent respectively.

Analysts stress that the mass sale came after weeks of intense purchase, which brought the gold price to overheated levels. During 2025, gold has registered historical profits with an increase of more than 50 percent by overcoming periods of turbulence as in the wake of the 11 September attacks, the 2008 financial crisis, or the Pande-19.

In the last two months alone, prices have increased by 25 percent, driven by high demand due to increased American state debt, political uncertainty and speculation about further reductions in interest rates from the Federal Reserve

However, optimism about reducing trade tensions between Washington and Beijing, as well as recovery of the US dollar, has prompted investors to secure profits.

Despite tensions returning in recent weeks, trade representatives of the two largest economies in the world are expected to meet later this week.

As another reason for the decline in gold prices, analysts also cite the Diwali festival's conclusion in India, the second largest gold consumer in the world, which has reduced the physical demand for this metal. /Telegraphy/