Spot gold was up 0.1 percent at $1,250.46 per ounce, as of 0641 GMT, after hitting its highest since July 11 at $1,251.35 earlier in the session.
U.S. gold futures were steady at $1,253.80 per ounce.
• “The market is largely in a holding pattern as everyone is focusing on the FOMC (Federal Open Market Committee) meeting... We see prices largely range-bound,” said Benjamin Lu, a commodities analyst with Phillip Futures in Singapore.
“The market has priced in the fourth hike but what remains important is the
• The Federal Reserve is widely expected to raise interest rates for the fourth time this year, but weak stock markets and slowing global growth may prompt it to tone down its stance on monetary tightening.
• Recent U.S. economic data was not encouraging and there is constant pressure from U.S. President Donald Trump on the Fed, said Ajay Kedia, director at Kedia Commodities in Mumbai.
Trump on Tuesday further sought to pressure the Fed as it prepared to start its meeting, warning the board not to “make yet another mistake” ahead of an expected interest rate hike.
“We are seeing $1,240 as
• The dollar index, which measures the greenback against a basket of six major currencies, was down 0.2 percent, having hit a one-week low in the previous session.
• Meanwhile, Asian share markets played second fiddle to bonds as a sharp fall in crude oil prices fanned speculation the Fed might be done with tightening after its policy meeting later in the day.
Spot gold may test
In latest outlook forecast, the bank reiterated its neutral call on gold and silver for the first half of 2019, expecting prices to hover within its current range between $1,200 and $1,250 an ounce. It won’t be until the final three months of the year that gold will finally start to shine and make a push towards $1,400.
• Among other precious metals, spot palladium rose 0.7 percent to $1,252.73 per ounce.
• Silver was up 0.3 percent at $14.69, while platinum gained 0.6 percent to $792.
Reference: Reuters, Kitco