Gold prices fell in international markets ahead of a key speech by US Federal Reserve Chairman Kevin Warsh. Investors' attention is now focused on the Fed chairman's speech at the Jackson Hole conference. Market analysts believe his speech may hint at tightening monetary policy.
As of 10:38 am Bangladesh time on Friday, spot gold fell 0.5 percent to $4,580.19 per ounce. Earlier on Tuesday, gold prices had risen to $4,696.18 per ounce, the highest in more than three months.
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Meanwhile, US gold futures fell 0.7 percent to $4,632.40 per ounce.
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Market analysts say that if the Fed chairman's speech hints at interest rate hikes or tight monetary policy, gold prices may fall further in the short term. Generally, when interest rates rise, investor interest in gold declines because gold yields no interest or regular income.
Not only gold, but prices of other precious metals also fell. Spot silver fell 0.6 percent to $68.85 per ounce. Palladium fell 0.2 percent to $1,349.44, and platinum fell 0.3 percent to $1,840.78.
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