Gold prices continue to be hammered by expectations of a U.S. interest rate hike. Gold prices on Monday fell at the fastest rate in a single month for the last two year period. Spot gold down 0.4 percent at $1,091.30 per ounce by 1146 GMT. Gold hit a low of $1,077 on July 24, its weakest in 5-1/2 years.
Gold prices slumped by nearly 7 percent in July, its fastest drop since 2013. The commodity is also trading at six weeks of straight losses, the longest decline period since 1999.
U.S. gold for December delivery was also down 0.4 percent at $1,090.70 an ounce.
As the dollar has continued to strength and talks of a U.S. rate hike have been voiced by the Federal Reserve, traders have ditched the commodity. The interest rate hike would be the first from the Federal Reserve in nine years.
Some analysts believe the rate hike will occur in September, making it more expensive to hold onto non-interest yielding gold.
In the meantime, the dollar is up 0.2 percent against other leading currencies.
Billionaire hedge fund manager John Paulson, one of the world’s most influential gold investors, believes gold prices are now closer to their actual value.
Spot silver is also down 0.7 percent to $14.67 per ounce while spot platinum has dropped by one percent to $972 per ounce.