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Gold prices declined on Tuesday, hurt by a strengthening dollar and Treasury yields, as markets wait to hear remarks from several Federal Reserve officials this week to further gauge the central bank's monetary policy path.

Spot gold was down 0.7% at $2,041.09 per ounce, as of 0958 GMT. U.S. gold futures fell 0.3% to $2,045.00.

"Looking at what's happening in the markets, I would say that the narrative is very much on dollar strength and this is penalizing the gold prices," Ricardo Evangelista, senior analyst at ActivTrades, said.

"I see gold having some support just above the $2,000 level, but at the moment I don't see much upside because of the strengthening of the U.S. dollar and the rising treasury yields as well."

The dollar index rose 0.5% to a more than one-month high, making bullion less attractive for other currency holders, while yields on the benchmark U.S. 10-year Treasury notes climbed above 4%. [US/] [USD/]

Fed Governor Christopher Waller is scheduled to deliver a speech on the economic outlook before the Brookings Institution at 1600 GMT, with at least other six officials due to speak this week.

"Fed officials probably will keep a neutral guidance, keeping all options on the table based on incoming data. So to see gold prices tick higher, we need to remain on a soft landing path," said UBS analyst Giovanni Staunovo.

The U.S. central bank is widely expected to hold its policy rate steady at the end of its Jan. 30-31 meeting. Traders now see a 70% probability of an interest rate cut in March, according to the CME Fedwatch tool.

Lower interest rates increase non-yielding bullion's appeal.

Elsewhere, European Central Bank officials pushed back against market expectations for rapid rate cuts this year.

Spot silver fell 0.5% to $23.09 per ounce, platinum declined 1.4% to $902.51, and palladium slipped 1.9% to $953.38.