Dollar Strength Drives Gold Below $4,300

Gold prices extended their decline to around $4,280 an ounce on Wednesday as a stronger US dollar weighed on the market.

The dollar climbed to fresh near two-month highs after data showed US business activity accelerated for a fourth consecutive month in September, reaching its fastest pace in more than five years.

Richmond Fed President Tom Barkin said higher rates and the prospect of further increases could temper inflation expectations without significantly slowing economic activity.