Gold languished near a one-month low on Wednesday and was set for a fifth consecutive monthly drop, as solid U.S data pointing to higher interest rates dented the non-yielding metal’s appeal.

Spot gold was flat at $1,723.28 per ounce, as of 0109 GMT, trading close to a one-month trough hit on Monday. It has declined 2.5% so far in the month.

 U.S. gold futures fell 0.1% to $1,734.40.

The influential chief of the New York Fed said on Tuesday the U.S. central bank will likely need to get its policy rate “somewhat above” 3.5% and keep it there through the end of 2023.

Even though gold is seen as a hedge against inflation, rate hikes raise the opportunity cost of holding bullion U.S. job openings increased in July and data for the prior month was revised sharply higher, pointing to persistently strong demand for labour that is giving the Fed cover to maintain its aggressive rate increases. Data also showed a bigger-than-expected rebound in U.S. consumer confidence in August.

 A chorus of European Central Bank policymakers called for decisive and swift rate hikes on Tuesday to combat soaring inflation, ahead of next week’s policy meeting. SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.44% to 976.26 tonnes on Tuesday from 980.61 tonnes on Monday.