LONDON – Gold prices retreated in choppy trade on Tuesday after earlier hitting record highs as a recovery in appetite for assets seen as higher risk, such as stocks, took the steam out of a rally that many saw as overdone above $1,900 an ounce.
A hike in margin requirements for gold forwards on the Shanghai Gold Exchange also helped curb the precious metal’s scorching rise.
Spot gold was down 1.1 percent at $1,875.69 an ounce at 1406 GMT, having hit a record $1,911.46 an ounce in Asia. The metal is still up by nearly a third this year and is on track for its biggest one-month rise since September 1999.
In India, gold prices retreated from their record levels on Tuesday, losing Rs 350 to Rs 28,190 per 10 grams due to profit-booking by stockists at existing high prices amid a weak global trend.
