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Ahead of US Fed policy decision, gold prices stuck below $1,300

Gold prices have tended to fall ahead of previous rate rises but recover afterwards

Reuters  |  New York | London 

Gold prices remained locked just below $1,300 an ounce on Tuesday as investors waited for clues on the pace of U.S. interest rate rises following the impending conclusion of a Federal Reserve policymaking meeting. A Fed statement and press conference expected from 2 p.m. EDT (1800 GMT) on Wednesday could push gold out of the tight range of about $1,290 to $1,305, in which it has been trapped since mid-May. Gold is highly sensitive to higher interest rates which can boost bond yields, making non-yielding bullion less attractive to investors, and could strengthen the dollar, ...

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First Published: Wed, June 13 2018. 11:27 IST