Gold prices are falling the second day in a row before the U.S. Federal Reserve decision on interest rates and long-term forecast of monetary policy.

Investors are waiting for long-term forecast the Fed's policy the United States, while analysts expect the central bank will not raise interest rates until at least 2014. If the central bank to convince the markets that interest rates remain at current levels for longer than expected, the dollar could fall, which will give impetus to the growth of gold.

Demand for gold in China is low, because the markets are closed for New Year celebrations of the lunar calendar, and buyers in India - the largest consumer of gold - are waiting for further price decrease with the increase in rupee against the dollar.

Stocks ETF backed by gold funds fell this week to 68.993 million ounces to 69.163 million last week.

Cost of the February gold futures on the COMEX today dropped to 1649.2 dollars per ounce.