Gold snaps 4-day rally, falls Rs 600 to Rs 1.66 lakh/10g amid profit booking

“Spot gold traded with a loss of nearly 1 per cent around USD 4,621 per ounce as it consolidated after five consecutive days of gains,” Praveen Singh, Head of Commodities at Mirae Asset ShareKhan, said.

Crude oil has extended its decline on reduced supply concerns as Iran and Oman continue to push for a temporary opening of the Strait of Hormuz, he added.

Meanwhile, holdings in yellow metal-backed exchange-traded funds have surged in the last few weeks, Singh said.

On the outlook, Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities, said any indication of the US Federal Reserve’s broader approach to inflation and monetary policy could influence the US dollar, Treasury bond yields and precious metals.

“Investors will also await the US Fed Chair Kevin Warsh’s speech at the Jackson Hole Symposium on Friday,” Gandhi added.