Gold had been on a tear in 2020, and the reversal represents a challenge for the metal’s backers. The haven has been favored as the coronavirus pandemic pummeled the global economy, prompting central banks and governments to deploy massive stimulus. Still, on Monday, President Vladimir Putin said Russia cleared the world’s first Covid-19 vaccine for use, buoying appetite for risk.

“Once it got to $2000 per ounce, in a lot of investors’ minds that could have been an opportunity to take profit off the table,” said Gavin Wendt, senior resource analyst at MineLife Pty. “The real trigger the news last night about Russia’s Covid-19 vaccine, which was a cue for some investors to take profit from their gold positions and to leap back into equities. It’s a high-risk play, but if you’re sitting on profits, it’s quite a sound strategy.”

Spot gold sank as much as 2.1% to $1,872.61 an ounce and traded at $1,885.33 at 10:40 a.m. in Singapore, as gold futures tumbled on the Comex. Silver also dropped sharply, with futures losing more than 9% at one point to trade below $24 an ounce.

On Monday, DoubleLine Capital LP’s Jeffrey Gundlach said that he expects gold to keep trading higher despite the setback. Among banks that have forecast substantial gains in recent weeks, Bank of America Corp. has predicted that prices will advance to $3,000.

Benchmark Treasury yields have climbed more than 10 basis points so far this month, amid improving risk appetite and an imminent flood of debt issuance. The recent rebound reflects investor hope that the coronavirus will be contained amid Russia’s vaccine, according to Standard Chartered Plc.