<a href="https://www.wionews.com/business-&amp;-economy/gold-prices-rise-to-one-week-high-as-softer-us-dollar-supports-buying-148880">Gold prices</a> held steady on Wednesday as investors waited on the outcome of the Federal Reserve`s meeting later in the day when policymakers are expected to cut interest rates for the first time since the financial crisis.

Spot gold was flat at $1,430.69 per ounce as of 0723 GMT.

US gold futures edged 0.1 per cent higher to $1,443.60 an ounce. "Most of the people are staying on the sidelines due to the Fed meeting. If the Fed does reduce rates, gold may come down a little as a 25 basis point cut is already priced-in," said Brian Lan, managing director at dealer GoldSilver Central in Singapore.

"We are also looking at whether there will be further rate cuts. Over the longer term, we are still bullish on gold but in the short-term, we might see a bit of correction before it continues to move higher," Lan added.

Fed funds rate futures are now fully pricing in a 25 basis point rate cut on Wednesday and another 25 basis point reduction by September.

Markets will be watching out for guidance on whether the Federal Open Market Committee`s expected move is a one-time cut or the beginning of a rate-cutting cycle.

Cementing expectations of Fed rate cuts, US consumer spending and prices rose moderately in June, pointing to slower economic growth and benign inflation.

<a href="https://www.wionews.com/world/donald-trump-tears-into-china-on-twitter-as-trade-talks-resume-239492">US President Donald Trump</a>, meanwhile, reiterated his call for the Fed to make a large interest rate cut, saying he was disappointed in the US&nbsp;

The central bank and that it had put him at a disadvantage by not acting sooner.

"Gold will look for direction in the tone of the Fed Chief`s rhetoric. More dovish could lead to a weaker dollar and a higher price for gold," <a href="https://www.wionews.com/business-economy/crude-oil-prices-fall-1-on-fears-for-global-economy-233148">Alfonso Esparza</a>, a senior market analyst at OANDA, said in a note.

The dollar index was relatively unchanged against a basket of major currencies on Wednesday after hitting a two-month high in the previous session.

In financial markets, fresh trade concerns following threats by Trump to Beijing sent Asian shares to a six-week trough on Wednesday.&nbsp;

Trump warned China against waiting out his presidency before finalising a trade deal, saying if he wins re-election in November 2020, the outcome could be no agreement or a harsher one.

On the technical front, Reuters technical analyst Wang Tao said a bullish target at $1,452 per ounce has been established for spot gold, as it has pierced above resistance at $1,427.

Among other precious metals, silver slipped 0.7 per cent to $16.46 per ounce.

Platinum jumped 1.2 per cent to $876.11 an ounce and palladium rose 1 per cent to $1,529.20.

Gold prices held steady on Wednesday as investors waited on the outcome of the Federal Reserve`s meeting later in the day when policymakers are expected to cut interest rates for the first time since the financial crisis.

Gold prices held steady on Wednesday as investors waited on the outcome of the Federal Reserve`s meeting later in the day when policymakers are expected to cut interest rates for the first time since the financial crisis. Spot gold was flat at $1,430.69 per ounce as of 0723 GMT. US gold futures edged 0.1 per cent higher to $1,443.60 an ounce. "Most of the people are staying on the sidelines due to the Fed meeting. If the Fed does reduce rates, gold may come down a little as a 25 basis point cut is already priced-in," said Brian Lan, managing director at dealer GoldSilver Central in Singapore. "We are also looking at whether there will be further rate cuts. Over the longer term, we are still bullish on gold but in the short-term, we might see a bit of correction before it continues to move higher," Lan added. Fed funds rate futures are now fully pricing in a 25 basis point rate cut on Wednesday and another 25 basis point reduction by September. Markets will be watching out for guidance on whether the Federal Open Market Committee`s expected move is a one-time cut or the beginning of a rate-cutting cycle. Cementing expectations of Fed rate cuts, US consumer spending and prices rose moderately in June, pointing to slower economic growth and benign inflation. US President Donald Trump, meanwhile, reiterated his call for the Fed to make a large interest rate cut, saying he was disappointed in the US The central bank and that it had put him at a disadvantage by not acting sooner. "Gold will look for direction in the tone of the Fed Chief`s rhetoric. More dovish could lead to a weaker dollar and a higher price for gold," Alfonso Esparza, a senior market analyst at OANDA, said in a note. The dollar index was relatively unchanged against a basket of major currencies on Wednesday after hitting a two-month high in the previous session. In financial markets, fresh trade concerns following threats by Trump to Beijing sent Asian shares to a six-week trough on Wednesday. Trump warned China against waiting out his presidency before finalising a trade deal, saying if he wins re-election in November 2020, the outcome could be no agreement or a harsher one. On the technical front, Reuters technical analyst Wang Tao said a bullish target at $1,452 per ounce has been established for spot gold, as it has pierced above resistance at $1,427. Among other precious metals, silver slipped 0.7 per cent to $16.46 per ounce. Platinum jumped 1.2 per cent to $876.11 an ounce and palladium rose 1 per cent to $1,529.20.

Gold prices hold steady ahead of Fed verdict

<a href="https://www.wionews.com/business-economy/asian-stocks-fail-to-catch-wall-streets-fed-rally-as-trade-angst-persists-229074">Asian equities</a> were mixed Tuesday as investors sat on their hands days before this week's crucial meeting between <a href="https://www.wionews.com/world/leaked-documents-show-red-flags-of-donald-trump-officials-230036">Donald Trump</a> and <a href="https://www.wionews.com/world/kim-jong-un-xi-jinping-agree-to-grow-ties-whatever-external-situation-report-229384">Xi Jinping</a>, while gold hit a fresh six-year high on a weaker dollar and the <a href="https://www.wionews.com/india-news/gulf-crisis-navy-launches-operation-operation-sankalp-to-reassure-indian-vessels-amid-us-iran-row-229020">US-Iran crisis</a>.

While the stand-off between Washington and Tehran is fuelling concerns of a conflict between the old foes, the main focus for investors is the tete-a-tete between the leaders of the world's two biggest economies in Osaka.

World markets have rallied since the US president last week flagged positive phone talks with Xi and said they would discuss their trade spat on the sidelines of the G20 summit.

On Tuesday Chinese state media said top-level negotiators for both sides had held discussions ahead of the meeting, and "exchanged opinions on economic and trade issues". The call took place "at the request of the US side" and they agreed to maintain contact, the Xinhua news agency said.

"The G20 will not get going until midweek, but the anticipation of a meeting between the leaders of China and the US is keeping markets guessing," said OANDA senior market analyst Alfonso Esparza.

"The prolonged trade war between the two largest economies has downgraded global growth as more barriers to trade means higher prices. Optimism remains high, but more details need to emerge before the market can fully price in how far apart the two sides really are from a deal."

In early trade Hong Kong and Shanghai each dropped 0.7 per cent after a recent healthy run-up, while Tokyo finished the morning 0.2 per cent lower. Taipei was also down.

However, Sydney and Singapore were both 0.1 per cent higher while Seoul and Wellington added 0.2 per cent apiece. Manila and Jakarta were also up.

Bitcoin holds gains

It is "a pretty good guess that we won’t see a whole lot of movement in front of the big upcoming meetings (G20 and OPEC)," Matt Maley, equity strategist at Miller Tabak &amp; Co, said. "The results of those meetings should be quite important to the stock market’s next move."

Gold prices continue to rise -- sitting at highs not seen since September 2013 -- as investors seek out the safe haven to hedge against a possible US-Iran conflagration, while the softening dollar is also providing support.

The White House ramped up sanctions on Tehran, imposing strict measures against supreme leader Ayatollah Ali Khamenei and military top brass following the downing of a US drone.

The move raised tensions between the two, though NAB's Tapas Strickland said the measures "appear to be more gloss than substance given US sanctions are already very harsh".

Oil prices were unable to sustain the surge started last week by the drone incident, with both main contracts dipping Tuesday.

Iran and the US have said they do not want a war, with the US content with trying to cripple Iran economically.

Oil traders are also keenly awaiting a meeting of OPEC and other major producers this weekend, hoping for clarity on their output reduction programme, which has supported prices.

The greenback was down against most other currencies, weighed by expectations the Federal Reserve will cut interest rates as soon as July, while bitcoin held above $11,000 after breaking the marker for the first time in 16 months.

Asian equities were mixed Tuesday as investors sat on their hands days before this week's crucial meeting between Donald Trump and Xi Jinping, while gold hit a fresh six-year high on a weaker dollar and the US-Iran crisis.

Asian equities were mixed Tuesday as investors sat on their hands days before this week's crucial meeting between Donald Trump and Xi Jinping, while gold hit a fresh six-year high on a weaker dollar and the US-Iran crisis. While the stand-off between Washington and Tehran is fuelling concerns of a conflict between the old foes, the main focus for investors is the tete-a-tete between the leaders of the world's two biggest economies in Osaka. World markets have rallied since the US president last week flagged positive phone talks with Xi and said they would discuss their trade spat on the sidelines of the G20 summit. On Tuesday Chinese state media said top-level negotiators for both sides had held discussions ahead of the meeting, and "exchanged opinions on economic and trade issues". The call took place "at the request of the US side" and they agreed to maintain contact, the Xinhua news agency said. "The G20 will not get going until midweek, but the anticipation of a meeting between the leaders of China and the US is keeping markets guessing," said OANDA senior market analyst Alfonso Esparza. "The prolonged trade war between the two largest economies has downgraded global growth as more barriers to trade means higher prices. Optimism remains high, but more details need to emerge before the market can fully price in how far apart the two sides really are from a deal." In early trade Hong Kong and Shanghai each dropped 0.7 per cent after a recent healthy run-up, while Tokyo finished the morning 0.2 per cent lower. Taipei was also down. However, Sydney and Singapore were both 0.1 per cent higher while Seoul and Wellington added 0.2 per cent apiece. Manila and Jakarta were also up. Bitcoin holds gains It is "a pretty good guess that we won’t see a whole lot of movement in front of the big upcoming meetings (G20 and OPEC)," Matt Maley, equity strategist at Miller Tabak & Co, said. "The results of those meetings should be quite important to the stock market’s next move." Gold prices continue to rise -- sitting at highs not seen since September 2013 -- as investors seek out the safe haven to hedge against a possible US-Iran conflagration, while the softening dollar is also providing support. The White House ramped up sanctions on Tehran, imposing strict measures against supreme leader Ayatollah Ali Khamenei and military top brass following the downing of a US drone. The move raised tensions between the two, though NAB's Tapas Strickland said the measures "appear to be more gloss than substance given US sanctions are already very harsh". Oil prices were unable to sustain the surge started last week by the drone incident, with both main contracts dipping Tuesday. Iran and the US have said they do not want a war, with the US content with trying to cripple Iran economically. Oil traders are also keenly awaiting a meeting of OPEC and other major producers this weekend, hoping for clarity on their output reduction programme, which has supported prices. The greenback was down against most other currencies, weighed by expectations the Federal Reserve will cut interest rates as soon as July, while bitcoin held above $11,000 after breaking the marker for the first time in 16 months.

Stocks mixed ahead of G20, Iran and weak dollar lift gold

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Gold prices hold steady ahead of Fed verdict

Stocks mixed ahead of G20, Iran and weak dollar lift gold