Gold suffered its biggest one-day drop in nearly four years Wednesday, raising questions about whether a torrid rally driven by anxiety over President Trump’s trade policies can continue.

Gold retreated after topping $3,500 an ounce for the first time as traders booked profit following a nearly 10% rally this month.

Key Takeaways Gold prices fell 4% on Wednesday, a day after hitting a record high, following comments from President Trump that allayed Wall Street's fears about an ongoing trade war with China and the White House's stand-off with the Federal Reserve.

Gold prices fell 2% on Friday and were on track for a weekly dip as the dollar rose and signs of easing U.S.-China trade tensions after a report that Beijing had exempted some U.S. goods from its tariffs weighed on bullion.

Gold futures bounced Thursday after a sharp downturn in the previous session, amid worries caused by persistent geopolitical instability and concerns over trade tensions, particularly uncertainty around U.