Gold Drops to Its Lowest Level in Nearly Two Weeks as US Dollar Recovers

Gold prices fell to their lowest level in about two weeks on Monday, with the rise of the dollar, while the pressure on the precious metal increased due to doubts about additional stimulus measures in speech of policymakers at the US Federal Reserve this week.

Gold fell in the spot market 1% to 1930.07 dollars an ounce by 1211 GMT, the lowest level since the ninth of September at 1928.14 dollars.

Gold in US futures fell 1.2% to 1938.30 dollars an ounce.

The US dollar index rose 0.4%, which increases the cost of ownership for holders of other currencies.

Investors are awaiting the words of Reserve Board members, including Jerome Powell, who will appear before congressional committees this week.

The decline in gold came despite the decline in European stocks to its lowest level in two weeks in light of the increase in cases of Covid-19 in Europe, which prompted some countries to impose new isolation measures, which affected the prospects for recovery.

In terms of other precious metals, silver fell 1.7% to $ 26.31 an ounce, platinum fell 1% to $ 918.97 and palladium fell 1.5% to $ 2322.79 an ounce.