Gold prices experienced a significant decline on Wednesday, reaching a near two-week low following their sharpest single-day drop in five years. Spot gold fell by 2% to $4,038.89 per ounce, while U.S. gold futures for December delivery dropped 1.3% to $4,055.40 per ounce. This downturn comes as investors take profits ahead of the highly anticipated U.S. Consumer Price Index (CPI) report, which is expected to reveal core inflation held at 3.1% in September. The CPI report, delayed due to the ongoing U.S. government shutdown, is a critical indicator for future Federal Reserve rate decisions. Despite the recent dip, gold prices have surged 54% this year, driven by geopolitical tensions, economic uncertainty, expectations of U.S. rate cuts, and strong inflows into ETFs. Analysts remain optimistic about gold’s long-term prospects, anticipating a rebound after the current correction. Meanwhile, other precious metals also saw mixed performance, with silver dropping 1.3% to $48.12 per ounce, platinum falling 0.3% to $1,547.09, and palladium rising 0.1% to $1,409.45.