Gold prices continue fall as US dollar firms

SINGAPORE, Jan 17 (Reuters): Gold prices extended declines on Wednesday, hitting a near one-week low, pressured by a stronger dollar as hawkish comments from a Federal Reserve official diminished hopes of an interest rate cut in March.
Spot gold was down 0.3 per cent at $2,021.59 per ounce, as of 0945 GMT. It fell 1.3 per cent in the previous session in its biggest single-day decline since Dec. 4, 2023.
US gold futures also fell 0.3 per cent to $2,024.90.
"Markets were betting that the Fed was starting to cut rates already at the end of the first quarter of this year and now they're recalibrating a bit after hawkish comments from some members of the Federal Reserve," said Carlo Alberto De Casa, market analyst at Kinesis Money.
The US dollar, opens new tab hovered at a one-month high following Fed Governor Christopher Waller's comment that the central bank should not rush to cut rates until lower inflation can clearly be sustained.
Spot silver fell 0.6 per cent to $22.76 per ounce, while platinum declined 0.7 per cent to $888.37 and palladium slipped 1.4 per cent to $923.2.