US dollar index up 0.1
Silver, platinum and palladium set for weekly declines

July 19 Reuters Gold prices fell on Friday, but were on track for a fourth straight weekly gain as expectations that the Federal Reserve will cut interest rates in September lifted bullion39;s appeal.

Spot gold was down 1 to 2,420.51 per ounce by 0840 GMT. It has risen 0.4 so far this week, and hit an alltime high of 2,483.60 on Wednesday.

U.S. gold futures fell 1.34 to 2,423.40.

The U.S. dollar inched higher 0.1 and benchmark 10year Treasury yields also drifted higher, putting pressure on bullion.

Gold is currently seeing some profittaking, but things look positive in the mediumterm amid political uncertainty and as rate cuts approach, said Kelvin Wong, OANDA39;s senior market analyst for Asia Pacific.

Markets see a 98 chance of a Fed rate cut in September, according to the CME FedWatch Tool. Nonyielding bullion39;s appeal tends to shine in a lowinterest rate environment.

Official announcement of the Fed39;s easing of monetary policy is expected to further boost gold prices. Consequently, prices could potentially reach a record 3,000 by autumn 2024, said Julia Khandoshko, CEO at European broker Mind Money.

Earlier this week, Fed Chair Jerome Powell said recent inflation readings add somewhat to confidence that the pace of price increases is returning to the central bank39;s target in a sustainable fashion, suggesting a turn to rate cuts may not be far off.

However, Fed Bank of…