Gold prices fell on European markets on Wednesday, extending its losses for a fourth straight day, to a five-month low as the dollar rallied against a basket of currencies and demand for safe haven assets slowed.

Gold prices fell by more than 0.2% as of 10:45 GMT to trade at $ 1,272.35 per ounce from the opening level $ 1,274.68, and recorded the highest level of $ 1,276.34, and the lowest level of $ 1,270.74.

Gold prices fell Tuesday by 0.3%, the third daily loss in a row, and recorded a five-month low of $ 1,270.44 an ounce, as the US dollar rose.

Gold Chart

Dollar Index rose more than 0.3% on Wednesday, extending its second consecutive day of gains, reversing the continued buying of the greenback versus a basket of major and minor currencies, pushing gold prices higher in dollar terms and rising for other currency holders.

The continued buying of the US currency, ahead of Federal Reserve Chairman Jerome Powell’s remarks at a global central bank forum in Portugal, is expected to include new signals on the pace of tightening US monetary policy this year.

Asian and European equity markets rallied in today’s session, and US stock index futures rallied ahead of the opening session on Wall Street, as global stocks rebounded after a wave of loss followed a renewed surge in trade tensions between the United States and China.

Gold holdings in the SPDR Gold Trust Fund The world’s largest gold-backed index was unchanged yesterday for a seventh straight day at 828.76 metric tons, the lowest since February 16.