Gold for June delivery is declining by 1.27% to $1,234.40 per ounce on the COMEX this afternoon.
The dollar gained against the yen and euro, making dollar-denominated gold more expensive to hold abroad, Reuters reports.
"After yesterday's five-week high, gold today is succumbing to the strength of the dollar against the yen and the euro," Carlo Alberto de Casa, chief analyst at ActivTrades, told Reuters. "Prices should however remain in range and only a close below $1,225 will put on additional selling pressure."
This year, gold prices could be pressured if the Fed raises rates, which would boost the value of the dollar.
"We continue to expect that the strengthening of the U.S. labour market will force the Fed to hike rates three times this year, which will lead to a stronger dollar and a gradual increase in U.S. real rates, pushing gold down," Goldman Sachs said in an analysts note, according to Reuters.
Additionally, IAMGOLD, a Toronto-based gold mining company, will report its 2016 first quarter financial results on May 3 after the market close.
Separately, IAMGOLD has a "sell" rating and a letter grade D at TheStreet Ratings because of the company's feeble earnings per share growth, deteriorating net income, disappointing return on equity and weak operating cash flow.
You can view the full analysis from the report here: IAG
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.