Gold falls as U.S. dollar strengthens
Gold futures on the COMEX division of the New York Mercantile Exchange settled lower on Wednesday ahead of the U.S. Federal Reserve decision to keep the key interest rate unchanged, Xinhua reported.
The most active gold contract for December delivery fell 6.00 dollars, or 0.49 percent, to close at 1,227.60 dollars per ounce.
The U.S. dollar index, a gauge of the greenback against a basket of key foreign currencies, rose 0.21 percent to 94.475.
Gold and the dollar typically move in opposite directions. If the dollar goes up, gold futures will fall as gold, measured by the dollar, becomes more expensive for investors using other currencies.
After the settlement of gold futures, Federal Reserve announced its decision to leave the key interest rate unchanged, but hinted at the possibility of a rate hike as early as September.