Analysts: Gold's fall below $2,135 could trigger speculators such as hedge funds and fund managers to unwind their long positions

Sina Financial News Gold prices slipped overnight after the release of PPI data reinforced expectations that the Federal Reserve will be cautious on the issue of interest rate cuts. Spot gold fell 0.6% to $2,162.19 an ounce. Ole Hansen, head of commodity strategy at Saxo Bank, said Fed officials “have been cautious for now and for some time now, and the PPI data has not changed that outlook.” Although gold prices retreated on Thursday, the precious metal remains at elevated levels after a long rally, and a break below $2,135 could trigger long unwinding by speculators such as hedge funds and fund managers, Hansen said.