Gold fell on Wednesday, as fears of monetary policy tightening and an increase in Treasury yields dispelled the relief from the dollar's decline.
Gold fell by 0.3% in spot transactions, reaching $1706.85 an ounce. US gold futures fell 0.3% to $1,706 an ounce.
The dollar fell for the fourth consecutive session, albeit at elevated levels, making the dollar-denominated precious metal less expensive for buyers of other currencies.
European Central Bank policy makers are considering raising interest rates by 50 basis points more than expected at their meeting on Thursday to contain record inflation, two sources familiar with the matter told Reuters. .
The 10-year US Treasury yield was flat after two sessions of gains.
For other precious metals, there was little change in silver in spot transactions and remained at $18.74 an ounce, and platinum settled at $874.61 an ounce., while palladium rose 0.5 % to $1,884.66 per ounce.
