Gold prices drop as dollar strengthens and U.S. debt-ceiling deal appears promising.

Gold and silver prices have fallen to six-week lows due to the recent rally of the US dollar index, which hit a seven-week high overnight. The rising US Treasury yields this week are also a negative factor for the precious metals. The US debt-limit extension talks are reportedly going better, and trader and investor risk appetite has up-ticked late this week, which is also a negative for the safe-haven metals. The US dollar index is higher and at a seven-week high, while Nymex crude oil prices are weaker and trading around $72.50 a barrel.