Gold prices are on a downside correction after hitting a 5-week high in overnight trading, weakened by stronger U.S. dollar index Tuesday.

February Comex gold fell $3.30 at $1,181.60 an ounce.

March Comex silver lost $0.068 at $16.615 an ounce.

Chinese demand for the physical gold is increasing ahead of the Chinese lunar New Year. There was also an increased demand for gold-backed exchange-traded-funds early in 2017.

The market is waiting for President-Elect Trump’s first press conference since his win, on Wednesday.

China saw a soaring inflation rate as its producer prices were up 5.5 percent in December, year on year, and up 3.3 percent from November.

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