Gold prices sharply declined in trading on Thursday, ending a four-session winning streak as investors resorted to profit-taking after the yellow metal’s recent gains and reaching new record levels.

The price of gold for October delivery dropped by $97, or 2.40%, to $3,946.30 per ounce.

Silver prices for delivery this month also fell sharply by $1.8060, or 3.71%, to $46.850 per ounce.

This comes as the US government shutdown entered its ninth day. Approximately 750,000 federal employees nationwide have been furloughed. The US Internal Revenue Service (IRS) announced yesterday the furlough of 34,000 employees.

With the upcoming Columbus Day weekend, travelers are canceling their trips to the United States. The decline in tourism spending caused by staff shortages is expected to impact the economy.

Deadlock continues in the US Congress over passing a short-term funding bill aimed at ending the government shutdown. Republicans and Democrats reject compromises, each blaming the other.

The Senate is voting today (for the seventh time) on competing proposals to reopen the government.

Meanwhile, US President Donald Trump warned that many temporarily furloughed government employees may not receive their back pay even if the shutdown ends, although he assured military personnel that their paychecks will be issued.

With the national economy slowing and unemployment rising, the effects of federal employees losing their jobs prevent investors from making long-term plans. This has boosted the value of the yellow metal, considered a safe haven.