Gold prices fell nearly 1% on Tuesday, after a surge in US producer prices fueled expectations of an interest rate hike at the start of the two-day Federal Reserve meeting.
Spot gold fell 0.9% to $ 1,771.66 an ounce, while US gold futures fell 0.9% to $ 1,772.30.
The dollar held firm, limiting demand for bullion from buyers with other currencies, while Treasury yields rose slightly from a week-long low in the previous session, also putting pressure on gold.
The Fed began its two-day monetary policy meeting on Tuesday. It is expected to announce that it will end bond purchases earlier than previously reported, which could lead to interest rate hikes next year.
Reference-www.eleconomista.com.mx