The price of gold has been predicted to fall over the course of 2013, the latest warning about the health of the precious metal.
According to Nomura, there will be a dip in the value of the commodity in the next 12 months.
"The investment environment for gold is deteriorating," the firm said, stating factors such as economic recovery and rising interest rates have had an impact on its appeal.
Nomura also picked out "still benign Western inflation" that will lead investors to have a rethink on their policies for buying gold in the rest of 2013.
The company cut its 2013 forecast for gold to $1,602 (£666) per ounce from $1,981 and its 2014 forecast to $1,750 from $1,800.
Gold futures remained at a steady level earlier in the week on the back of a two-session climb, with investors having weighed the metal's safe-haven appeal in the wake of better-than-expected US private sector employment data.
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