Singapore – Gold prices fell more than one percent on Tuesday, heading for their biggest monthly drop since October 2008. The decline comes as concerns about instability in the Middle East ease and expectations grow that the U.S. will raise interest rates to curb high inflation.
Spot gold fell 1.5 percent to $3,956.92 per ounce, marking a loss of 12.7 percent since the start of the month. This is set to be the fourth consecutive monthly decline for gold. U.S. gold futures for August delivery also dropped 1.7 percent to $3,969.30.
Among other precious metals, spot silver fell two percent to $57.13 per ounce. Platinum lost 1.1 percent to $1,557.21, and palladium slid 0.4 percent to $1,208.17. All three metals are on track for both quarterly and monthly losses.