Gold Prices fall as Dollar, bond yields rise

Gold prices recorded a decline on Wednesday, as the dollar and US Treasury yields climbed to multi-year peaks after hawkish rhetoric by Federal Reserve officials fuelled expectations of aggressive interest rate hikes.

Spot gold was down 0.3 percent at $1,624.12 per ounce, edging closer to a 2-1/2-year trough of $1,620.20 touched earlier this week.

US gold futures was 0.3 percent lower at $1,631.60.

The dollar index scaled a fresh two-decade peak, making greenback-priced bullion more expensive for buyers holding other currencies.

Benchmark US 10-year Treasury yields rose to 4 percent for the first time since 2010.

As for other precious metals, spot silver hit a three-week low and was last down 1.4 percent at $18.17 per ounce.

Platinum fell 0.7 percent to $842.52, having earlier hit its lowest level since Sept. 5. Palladium shed 1.2 percent to $2,061.31.