By Gina Lee

Investing.com – Gold was down on Tuesday morning in Asia, falling to its lowest in more than a week. U.S. Treasury yields surged ahead of a Federal Reserve’s and hopes for progress in talks between Ukraine and Russia further dampened the safe-haven yellow metal’s appeal.

After hitting $1,940 at 1:57 pm ET (or 4:57 am GMT), the session’s lowest point since March 4, when it was $1,940, its price dropped 1.01%.

U.S. Treasury yields soared to two-and-a-half-year highs on Monday, with investors awaiting the Fed’s policy decision, which will be handed down on Wednesday. It is likely that the central bank will raise interest rates, for the first-time in three years.

On Thursday, the Bank of England will give its hand. Christine Lagarde (European Central Bank), Isabel Schnabel (Executive Board member), Ignazio Visco (Governing Council member) and Philip Lane (Chief Economist) spoke at a conference that took place on Thursday. On Friday, the Bank of Japan will present its annual report.

While the Reserve Bank of Australia published the earlier in the morning, the Bank of Korea also released the. Surprise move: the maintained the 2.85% one-year medium term lending facility.

A fourth round in talks between Russia and Ukraine concluded on Monday. Little progress was made toward ending a conflict that started with Russia’s February 24 invasion of Ukraine. Talks are set to resume Tuesday.

As supply worries eased, palladium dropped 1% to $2363.06 an ounce. Vladimir Potanin (Russian mining giant Nornickel) said that Nornickel had secured alternative routes to its palladium delivery. But, the supply chain problems are likely to persist.

Russian refiners will now be permitted to continue selling palladium or platinum in London, which is the world’s largest precious metals trading hub, according to a market source. Concerns about Russia’s supply disruptions caused palladium to hit an all-time high of $3.440.76 in the past week.

Silver dropped 0.4% while platinum fell 0.1%.