Gold prices have seen a significant decrease, falling by 8% or $220 per troy ounce since the end of October. Despite this decline, gold prices are still up by over 25% for the year.

The reason for this shift in market sentiment is believed to be the potential for a second Donald Trump presidency. As a result, investors are moving away from safe-haven assets like gold and towards riskier investments, particularly those denominated in dollars.

The recent adjustments in gold prices also reflect a larger trend where non-US investors are facing increased costs, with prices rising by 5% due to the strength of the dollar. This change in dynamics raises concerns about the sustainability of gold"s rally and its ability to regain upward momentum in the current economic climate.