Gold edges higher ahead of Fed policy decision
GLD•Spot gold rose 0.1% to $4,061.86 per ounce as investors awaited the Federal Reserve's policy decision, with markets largely expecting rates to remain unchanged. Traders are pricing in about an 84% chance of a December rate hike.
1. Gold prices edge up
Spot gold rose 0.1% to $4,061.86 per ounce by 0036 GMT, after climbing more than 1% and reaching $4,065.55 on Tuesday. U.S. gold futures for December delivery steadied at $4,075.60.
2. Markets await Fed decision
The Federal Reserve was due to announce its policy decision at 1800 GMT, with traders largely expecting rates to remain unchanged. Markets were pricing in about an 84% chance of a rate hike in December. Higher interest rates increase the opportunity cost of holding non-yielding bullion.
