Gold fell to a one-month low after Fed Chairman Jerome Powell’s messages that loose monetary policy will not start anytime soon.

Gold prices fell to a one-month low after Fed Chairman Powell said interest rate hikes would continue.

Prices continued to decline in the 5th month as the Fed’s interest rate hikes reduced the appeal of gold. This year’s rise in the dollar also puts pressure on gold prices.

At the Kansas City Fed’s annual policy meeting in Jackson Hole on Friday, Powell said restrictive monetary policy would continue. “History warns of the risk of premature monetary policy easing,” Powell commented.

“This is the most hawkish speech the Fed Chairman has made in a long time. Gold is under pressure due to the strengthening dollar. If volatility in the US stock market increases, we may see safe-haven buying in gold,” said John Feeney of Guardian Gold Australia in Sydney.

Spot gold was trading at $1,721.29 an ounce, down 1 percent. This was the lowest level since July 27. On the other hand, the Bloomberg Dollar Spot index is up 0.6 percent today after increasing 0.5 percent in the previous session.

Silver and platinum fell, while palladium rose.