Precious metals slipped across the board on Wednesday, but were on course for blockbuster annual gains, as silver and platinum prices more than doubled and gold's run of record highs led to its strongest yearly performance in more than 40 years.
Spot gold fell 0.5% to $4,326.55 per ounce to a more than two-week low. U.S. gold futures for February delivery lost 1.1% to $4,339.30/oz.
Gold prices have skyrocketed about 65% this year, their steepest annual rise since 1979, with the rally reflecting the impact of U.S. interest rate cuts and expectations of further monetary easing, geopolitical strains, heavy central bank buying, and robust ETF inflows.
Prices have slipped from their recent peaks as traders booked profits after CME raised margins again on precious metal futures.
"Gold is seeing heightened price volatility with cross currents from profit-taking, and some new positions being put on," said independent analyst Ross Norman.
"The raising of margins on CME I think has put a very firm handbrake on what looked to be runaway prices with the white metals."
Spot silver lost 5.8% to $72.02 per ounce on Wednesday after hitting a record high of $83.62 on Monday.
Silver has gained more than 145% year-to-date, far outpacing gold, and poised for its best year ever. The rally has been driven by supply shortages, low inventories, rising industrial and investor appetite, and its recent designation as a critical mineral in the United States.
Spot platinum shed 8.1% to $2,020.11 per ounce after rising to a lifetime high of $2,478.50 on Monday. It is up more than 110% for the year, its strongest gain ever.
Palladium fell 2.8% to $1,565.94 per ounce, set to close the year up over 60%, its best performance in 15 years.
"Tariffs, a desire to build domestic inventories and supply chain vulnerabilities has thrown the spotlight on certain key metals," Norman said.
"In 2026, we will see this issue becoming manifest, not only through higher prices as nations outbid each other to build strategic stocks, but through other mechanisms to attract the necessary commodities."