Gold fell for a second day after US president Donald Trump’s remarks on China and the Federal Reserve eased some market jitters that have fueled a surge in the precious metal.

Bullion dropped as much as 2.2%, extending a slump in the previous session after it touched a record above $3,500 an ounce.

The precious metals is still up by more than a quarter this year as the trade war, expectations for a global slowdown, and tensions between the Trump administration and the Federal Reserve combine to fan haven demand. Gains have been supported by investors expanding holdings in exchange-traded funds, as well as central-bank buying.

Gold’s abrupt reversal on Tuesday came after technical market metrics pointed to it being overbought, prompting some investors to take profits. In addition, Trump backed off from a move to oust Fed Chair Jerome Powell, while also making positive comments about the trade war with China.

The tariff on China will “will come down substantially but it won’t be zero,” Trump said Tuesday in Washington.

Spot gold fell 2.1% to $3,309.26 an ounce at 2:51 p.m. in Singapore. Silver — which had been more than 1% lower in early trading — also rebounded. Platinum and palladium advanced.