Gold edged lower on Wednesday as investors nervously awaited a policy statement by the U.S. Federal Reserve and fresh economic data, with political tensions in Ukraine failing to prompt heavy safe-haven bids.
The Fed will make a statement later on Wednesday at the end of its two-day policy meeting, with markets watching for the U.S. central bank’s stance on tighter monetary policy. Data on private sector hiring and GDP growth is also expected.
Spot gold fell 0.2 percent to $1,293.21 an ounce by 0337 GMT, after closing flat in the previous session. “The combination of the FOMC and the economic releases occurring on the same day may cause gold volatility to pick-up in the near-term and may put to test the recent tight $30 price range of between $1,280-1,310,” HSBC analysts said in a note.