Oct 7 (Reuters) - Gold prices fell on a stronger US dollar on Wednesday, while investors awaited the minutes of the Federal Reserve's September meeting to gauge the degree of support among policymakers for further rate hikes.
Spot gold fell 0.98% to $4,122.73 per ounce by 0905 GMT. US gold futures for December delivery slid 0.91% to $4,149.00.
The US dollar index (.DXY), opens new tab rose 0.4%, making greenback-denominated gold more expensive for holders of other currencies.
"There is also an element of caution ahead of the release of the latest Federal Open Market Committee minutes later today," said ActivTrades director and CEO Ricardo Evangelista. "Until there is greater clarity on that (support for rate hikes) front, there is probably some reluctance to take larger positions in gold."
After a softer US jobs data, markets now largely expect the Fed to stay pat in October, but are still pricing in an 86% chance of a hike in December, according to the CME's FedWatch tool.
Kansas City Fed President Jeff Schmid said rates still need to rise to bring inflation down, while San Francisco Fed President Mary Daly said the decision would rest on whether the factors pushing up inflation fade or persist.
Higher interest rates diminish the attractiveness of non-yielding gold.
"The downside remains supported by geopolitical uncertainty, concerns over government debt and inflation, and central bank demand," Evangelista said.
International Monetary Fund Managing Director Kristalina Georgieva warned on Wednesday that the global economy faces risks from persistently high energy prices, record public debt and risks from the AI investment boom.
Separately, delegates attending the London Bullion Market Association's annual conference in Italy forecast that gold could reach $5,013 an ounce over the next 12 months.
China's central bank stepped up its gold purchases in September, extending its buying streak to a 23rd consecutive month, official data showed.
Spot silver fell 2.2% to $60.3638 per ounce, platinum eased 3.0% to $1,650.45, and palladium lost 2.7% to $1,140.89.
Reporting by Elizaveta Zhuravleva in Gdansk and Ashitha Shivaprasad in Bengaluru; Editing by Harikrishnan Nair
