Gold and silver extended drops after their steepest selloffs in years, as investors took profits on concern the dizzying surges in the precious metals in recent weeks had left them overvalued. Spot gold traded near $4,090 an ounce after tumbling as much as 6.3 per cent in the previous session, in the biggest intraday drop in more than a dozen years. Silver edged lower after being down by 8.7 per cent at one point on Tuesday. On Tuesday, silver in vaults linked to the Shanghai Futures Exchange saw the biggest one-day outflow of silver since February, while New York stockpiles have also fallen. Spot gold fell 0.9 per cent to $4,091.63 an ounce as of 9:57 a.m. in Singapore, after closing 5.3 per cent lower on Tuesday.