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Gold is down on expectations of higher US interest rates and a decline in global tensions

UNITED STATES (OBSERVATORY) –  Gold prices fell on Friday to end the week on a loss, as the dollar rallied on expectations of a rise in US interest rates and a view that political and security risks around the world would ease.

Spot gold fell 0.7 percent to $ 1335.68 an ounce late in the US session, posting its first weekly loss this month.

US gold futures for June delivery fell 0.8 percent to settle at $ 1338.30 an ounce.

Market anxiety over Western military strikes on Syria, which provided some support for gold this week, eased as geopolitical prospects improved on the Korean Peninsula, while US President Donald Trump said on Wednesday he hoped a summit with North Korean leader Kim Jong-Un.

Gold is usually used as a safe haven in misty times.

Comments from a Federal Reserve banker added more pressure on gold. The bank should increase interest rates in the current and next years to keep the economy from frantic performance and to prevent the risks to the financial system from rising, the banker said.

The dollar index rose 0.4 percent against a basket of major currencies.

Among other precious metals, spot silver fell 0.45 percent to $ 17.13 per ounce but ended the week with gains above 3 percent. Silver hit its highest level in more than two and a half months at $ 17.35 in the previous session.

Platinum fell 0.6 percent to $ 926.90 an ounce and ended the week on a loss of the same percentage. Platinum touched a three-week high of $ 953.50 in the previous session.

Palladium rose 0.5 percent to $ 1,030.22 an ounce, ending the week with gains of about 5 percent, after hitting its highest level in a month and a half at $ 1057.20 in the previous session.