Gold falls 1% with the rise of the dollar, by Reuters

© Archyde.com. Gold bars in Mumbai with a photo from the Archyde.com archive.

(Archyde.com) – It fell 1 percent on Thursday as the dollar rebounded, while recent comments from US Federal Reserve officials indicated continued tightening of monetary policy to tame inflation.

And by 1542 GMT, it fell 0.9 percent to $ 1758.45 an ounce, following falling to $ 1753.6 earlier in the session.

US gold futures for December delivery also fell 0.8 percent to $1,760.90 an ounce.

It rose 0.7 percent, making gold more expensive for holders of other currencies, and 10-year yields also rose.

Investors are awaiting the US central bank’s decision to raise interest rates in December.

The interest rate hike affects the appetite for the precious metal, which does not yield interest.

Gold reached a three-month high of $1,786.35 on Tuesday amid fears of an escalation in the Ukraine crisis, but prices have since eased as tensions eased.

As for other precious metals, it fell 3.2 percent to $20.7794 an ounce. Platinum fell 1.9 percent to $987.25 an ounce. It fell 3.3 percent to $2,004.28 an ounce.

(Prepared by Ahmed Al-Sayed for the Arabic Bulletin – Edited by Mustafa Saleh)