Gold falls to lowest since 2010 on Fed hike fears

London : Gold fell to the lowest in five years as bets that the US will raise interest rates next month increased, curbing the metal’s appeal.  Gold dropped 0.7 per cent to USD 1,064.83 an ounce. If the decline holds, gold is headed for its sixth straight week of losses, the longest such run since August. Silver also retreated by 1.30 per cent to USD 14.09 an ounce.  The US dollar, which typically moves inversely to gold, rose 0.1 per cent against a basket of 10 leading global currencies. The metal is trading at its lowest levels since February 2010 as investors weigh the prospects of higher US interest rates after data pointed to a strengthening economy. With gold typically seen as a haven asset, demand for the metal is falling on the prospect of higher returns in US securities.  -Bloomberg