Gold fell on Tuesday, as the dollar rebounded following upbeat U.S. housing data that supported views of a looming interest rate increase by the Federal Reserve, while silver tumbled on the heels of falling copper prices.

Spot gold was down 0.1% at $1,116.73 an ounce by 3:19 p.m. (GMT), after falling as much as 0.7%. U.S. gold for December delivery settled down 0.1% at $1,116.90 an ounce.

Spot silver was the worst-performing precious metal, dropping as much as 4% to $14.70 an ounce, its biggest tumble since July 7. It was pressured by a six-year low in copper prices as worries about weak demand growth from top consumer China were reinforced by tumbling equity prices in Shanghai.

Spot palladium fell by as much as 3.8% to $588.75 an ounce, the lowest since Aug 4, while Platinum fell 0.5% to $989 an ounce. 

(REUTERS)