PRECIOUS-Gold stays above $4,000 level, silver breaks through $50 for first time

By John Biju and Kavya Balaraman

Oct 9 (Reuters) - Gold prices eased on Thursday as some investors booked profits, but remained above the $4,000 per ounce level, as expectations of U.S. interest-rate cuts and persistent global uncertainties drove demand for the safe-haven asset.

Silver, spurred by momentum in the gold market, strong investment demand and an ongoing supply deficit, breached the key psychological barrier of $50 per ounce for the first time.

Spot gold XAU= fell 0.5% to $4,018.40 per ounce, as of 1022 am ET (1422 GMT). U.S. gold futures GCcv1 for December delivery fell 0.9% to $4,032.30.

"Speculators are taking some gold chips off the table as the Gaza ceasefire takes effect since it reduces the temperature in a historically volatile region," said Tai Wong, an independent metals trader.

Israel and Hamas signed an agreement on Thursday to cease fire, the first phase of U.S. President Donald Trump's initiative to end the war in Gaza.

"Overall, though, the faith in this trade is largely undiminished. However, this rally has been so rapid that no real support comes in until $3,850," Wong said.

Bullion surged past the $4,000 per ounce mark for the first time on Wednesday, reaching a record high of $4,059.05. The non-yielding asset, which is traditionally considered a hedge during geopolitical and economic uncertainty, has surged more than 54% this year.

Its rally has been fueled by geopolitical tensions, robust central bank buying, rising ETF inflows, expectations of U.S. rate cuts, and tariff-related economic uncertainties.

Minutes of the U.S. central bank's September meeting, released on Wednesday, showed Federal Reserve officials agreed that risks to the U.S. job market were high enough to warrant a rate cut, but remained wary amid stubborn inflation.

The Fed resumed its rate-cutting cycle in September, lowering the benchmark rate by 25 basis points.

Silver XAG= gained 2.7% to $50.19 per ounce after breaching the $50 mark earlier in the session.

Silver has surged over 69% this year, driven by the same macroeconomic forces fueling gold's rally and tight supply conditions in the spot market.

"Silver is playing a bit of catch up at this point, moving more aggressively to the upside than gold in recent sessions," said David Meger, director of metals trading at High Ridge Futures.

Elsewhere, platinum XPT= rose 0.1% to $1,665.10 and palladium XPD= rose 2.5% to $1,485.55.