Gold Giving Back Ground Following Yesterday's Surge

(RTTNews) - Gold prices have moved notably lower during trading on Tuesday, giving back ground following the sharp increase seen in the previous session.

After surging $144.70 or 2.9 percent to $5,225.60 an ounce during Monday's trading, gold for April delivery is slumping $47.50 or 0.9 percent to $5,178.10 an ounce.

The pullback by the price of gold partly reflects profit taking following yesterday's jump, which lifted the precious metal to its highest levels in almost a month.

An uptick in the value of the U.S. dollar is also weighing on gold, with the U.S. dollar index inching up by 0.1 percent.

Traders also pondered the latest geopolitical developments as well as U.S. trade policy impacts following the U.S. Supreme Court's ruling on reciprocal tariffs.

U.S. President Donald Trump reiterated he prefers a deal with Iran but warned of consequences if upcoming nuclear talks fail.

On the trade front, Trump warned countries against backing away from recently negotiated trade deals, saying that he would hit them with much higher duties under different trade laws.

The uncertainty may worsen if the Trump administration continues imposing new tariffs under alternative laws.