Strategist: The rise in gold prices is too aggressive, with profit taking intensifying after a record surge.

According to Deep Tide TechFlow news on October 21, as reported by Jin10 data, due to safe-haven demand and Fed interest rate cut expectations, gold, which has been hitting historical highs, saw a pullback on Tuesday, with spot gold plunging 3.8% during the day.

WisdomTree commodity strategist Nitesh Shah pointed out: “Gold prices still have room to rise, but the current upward momentum is too aggressive, and there will inevitably be a technical pullback after each new high.” Geopolitical and economic uncertainties, continuous central bank gold purchases, strong investment demand, and expectations of a rate cut by the Fed have jointly driven gold prices to a cumulative increase of 63% this year. The market focus has now shifted to the U.S. September CPI data to be released on Friday, which is expected to rise by 3.1% year-on-year, reinforcing market expectations of a 25 basis point rate cut at the Fed's meeting next week. As a zero-yield asset, gold typically benefits in a low-interest-rate environment.