SINGAPORE (Commodity Online) : Gold prices fell in Asian trade Thursday, after hitting an all-time record near $1153 a barrel overnight, mainly on profit taking by some investors.
Spot gold was seen trading at $1141.85 an ounce at 11.30 a.m while December-delivery gold was at $1142.23 an ounce after yesterday reaching a record $1,153.40 an ounce.
Trade commodities or equities from across the globe. Join Now
The precious yellow metal declined for the first time in five days after bringing last four days gains to 3.8 percent and after hitting as high as $1152.85 an ounce.
Analysts said inflation fears fuelled by stronger-than-expected U.S. consumer prices also added to the already bullish.
Gold is up 30 percent this year, heading for a ninth annual gain, the longest winning streak since at least 1948, as investment demand surged for the metal as a haven against a declining dollar and inflationary expectations.
The metal has climbed 2.2 percent this week as the dollar has weakened 0.2 percent against a basket of six major currencies including the euro and yen.
The U.S. currency traded near a three-week low against the euro on speculation a Federal Reserve official will reiterate the central bank’s pledge to keep interest rates near zero to support growth.
Investments in exchange-traded funds backed by gold surged 68 percent this year through September as the financial crisis wracked the global economy and the sliding dollar ignited inflation concerns, the World Gold Council said Wednesday.
Meanwhile, holdings in the SPDR Gold Trust, the biggest exchange- traded fund backed by bullion, jumped about 75 percent to $35 billion this year through September, reaching a record 1,134 tons on June 1. Assets Wednesday rose for the first time since Nov. 9 to 1,117.49 tons.
