Gold prices slip as Bernanke avoids committing to stimulus

Gold prices were hovering on Tuesday after U.S. Federal Reserve chair Ben Bernanke did not commit to employing strategies of boosting the U.S. economy, according to Reuters.

The yellowish metal lost 1 percent of its value immediately following the release of his prepared remarks before the U.S. Senate Banking Committee. He only said the institution he leads was set to act if that action was needed. He is scheduled to deliver testimony on Capitol Hill on Wednesday as well.

"The gold market's reaction is suggesting that we are not going to get any stimulus any time soon until the economy deteriorates much further," senior commodities broker Phillip Streible with futures brokerage R.J. O'Brien told Reuters. "I think these markets are going to be in a trading range for a while."

At 1:51 p.m. on Tuesday, gold prices dropped 0.21 percent, a $3.30 loss to $1,588.30 per troy ounce.

From December 2008 through June of last year, the yellowish metal gained 70 percent as the central bank kept expenses and costs for borrowing at record lows while purchasing $2.3 trillion worth of debt, according to Bloomberg.