Gold on Tuesday fell to a six-week low on speculation a stronger dollar will curb demand for an alternative investment. Other precious metals also declined.
The gold fell by one per cent to $ 1,712.02 an ounce, the lowest since September 7. Silver also slid 1.8 per cent to $ 31.82 an ounce, the lowest since September 3.
The US Dollar Index, a measure against six major trading partners, climbed to a one-week high. Bullion has erased gains made after the Federal Reserve announced a third round of debt-buying on September 13.
The Fed concludes a meeting tomorrow. Stimulus measures taken by central banks from Europe to China helped drive gold to a 10-month high of $ 1,796.05 on October 5.
The Bank of Japan will next week announce its policy decision and issue revised economic projections for the 2012 and 2013 fiscal years and its first set of forecasts for 2014.
Japan’s Economy Minister Seiji Maehara, who has been calling for more action from the central bank, said today he may attend the BoJ’s next meeting on October 30 if his schedule permits.
Maehara was present at the previous gathering ended October 5, the first minister to do so for more than nine years.