Gold futures settled at their lowest in more than a week Monday, heading back toward multi-year lows amid widespread speculation the Federal Reserve will raise rates.
The Fed gathers on Tuesday for a two-day meeting that is all but certain to culminate with the first rate hike in years.
With bullion losing its inflation hedge appeal, gold for February was down $12.30, or 1.1%, to $1,063.40 an ounce on Comex.
Silver has also been hammered of late. Silver futures plunged to their lowest level since July 2009, down 18.9 cents, or 1.4%, to settle $13.695 an ounce.
The material has been provided by InstaForex Company – www.instaforex.com