Gold slips to near three-week low on dollar strength, inflation worries

BAGHDAD, Iraq — Gold prices fell to their lowest level in nearly three weeks on Wednesday as a strong US dollar and rising Treasury yields weighed on the precious metal. Spot gold dropped 0.6% to $4,304.01 an ounce, the lowest price recorded since August 7. December US gold futures declined 1% to $4,350.80 an ounce. The decline was driven by inflation concerns stemming from rising tensions in the Middle East and expectations that US monetary policy would tighten. A stronger dollar and higher Treasury bond yields added pressure to dollar-priced gold. Investors were awaiting the ADP private-sector employment report later in the day and the nonfarm payrolls data scheduled for release on Friday. Among other precious metals, silver fell 1% to $63.60 an ounce, platinum dropped 1% to $1,722.23, and palladium declined 1.4% to $1,292.21.