Gold falls in price on easing foreign political tensions

Gold prices fell slightly on March 14 morning due to some apparent decrease in tensions between Russia and Ukraine, Report informs referring to the auction data.

The price of April gold futures on the New York Comex exchange fell by $7.2, or 0.36%, to $1,977.8 per troy ounce. May futures for silver fell 1.04% to $25.887 an ounce.

The price of gold is falling as hopes for progress in Russian-Ukrainian negotiations reduce demand for the precious metal as a safe-haven asset. But this decrease may be temporary, according to the assessments of a number of experts.

Earlier, Russian President Vladimir Putin noted that there are "certain positive developments" in the negotiations with Ukraine.

While Putin's comments are likely to give market participants hope that ceasefire negotiations are moving in the right direction, fears about the state of the economy are unlikely to disappear any time soon, so the decline in the price of gold may be temporary, the Wall Street Journal reports, citing analysts.