The prices of gold settled mixed on Tuesday’s session as global investors remained on the sideline before the Fed meeting. The said meeting is expected to give indications on the monetary tightening movement.
U.S. gold futures lost as much as 30 cents at $1,268.60 an ounce for its August delivery. However spot gold edged higher by 0.21 percent, and trades at $1,267.31 per ounce, the yellow metal notched a session low of $1,261.30 an ounce on the previous trade.
The U.S. Federal Reserve is highly forecasted to incite an interest rate hike the time it finishes its meeting on Wednesday, even though investors are keeping an eye on any new updates regarding the pace of interest rate hikes this 2017. Calculations of inflation and the economy were also the center of attention.
Forex.com analysts Fawad Razaqzada said that it is obvious that people are not building significant positions on the meeting and if ever they are anticipating anything, it’s a non-hawkish Fed due to the current economic figures this week. An unexpectedly weaker pace of interest rate hikes would eventually influence the U.S. currency by making gold, which is priced with dollar, low-priced for holders outside the United States.
New York's iShares Silver Trust SLV and SPDR Gold Trust GLD holdings are both still unmoved on Monday from Friday.
Meanwhile in other precious metals, platinum was lower by 1.29 percent to $927.90 an ounce, spot silver fell 0.30 percent to $16.87 an ounce, while palladium moved away from its 16-year high last Friday as it was 1.3 percent down to $883.70 an ounce.