- MarketPulse - https://www.marketpulse.com -

Gold Steady at $1150 Before Fed

Gold hovered near its lowest level in more than four months on Wednesday ahead of the conclusion of a Federal Reserve meeting that may stoke expectations for a mid-year hike in U.S. interest rates.  Spot gold was little changed at $1,150.30 an ounce by 0029 GMT, not far above Tuesday’s trough of $1,142.86 – its lowest since Nov. 7.

Many expect the Fed officials, who started a two-day policy meeting on Tuesday, to drop the phrase “patient” from their forward guidance on interest rates, potentially paving the way for a rate hike in June, the first since 2006.

While the U.S. economy has been strengthening as evidenced by a firming labor market, the housing sector remained weak. Data on Tuesday showed U.S. housing starts plunged to their lowest level in a year in February.

CNBC [1]

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

marketpulsefxstaff

Latest posts by marketpulsefxstaff (see all [4])