Gold and silver prices fell amid a wave of profit-taking selling and the strength of the dollar

Gold and silver prices fell today, amid a wave of profit-taking selling after their recent rise, while the rise in the dollar negatively affected investor sentiment in the precious metals market.

The price of gold in spot transactions fell 0.7 percent to $4,466.19 per ounce at 02:05 GMT.

Gold hit a record high of $4,549.71 on December 26.

US gold futures for February delivery fell 0.4 percent to $4,477.30.

The dollar stabilized in a narrow trading range, near its highest level in more than two weeks, ahead of the release of a series of US economic data, which made the assets denominated in it more expensive for holders of other currencies.

Stephen Meiran, a member of the Federal Reserve (US central bank), whose term ends this month, said yesterday, Tuesday, that cutting US interest rates sharply is necessary this year to maintain the continued growth of the economy.

Investors currently expect the US Central Bank to reduce interest rates at least twice this year, while awaiting non-farm payrolls data scheduled to be released on Friday to obtain more indications on the monetary policy path of the largest economy in the world.

President Donald Trump announced yesterday that Caracas and Washington had reached an agreement to export up to $2 billion of Venezuelan crude oil to the United States, a move that would divert supplies from China in the wake of what Venezuelan officials described as the kidnapping of former President Nicolas Maduro.

Non-yielding assets, such as gold, tend to rise in light of low interest rates and in times of geopolitical or economic instability.

As for other precious metals, the price of silver in spot transactions fell 1.2 percent to $80.34 per ounce after recording its highest level ever at $83.62 on December 29.

The price of platinum in spot transactions fell 2.9 percent to $2,373.0 per ounce, after recording its highest level ever at $2,478.50 last Monday. It had risen by more than five percent earlier in the session, hitting its highest level in a week. The price of palladium fell 2.5 percent to $1,777.22 per ounce.