FUNDAMENTALS
* Spot gold was flat at $1,775.63 per ounce, as of 0120 GMT, while U.S. gold futures dipped 0.1% to $1,776.30.
* Fed’s two-day meet is due to conclude on Wednesday as investors focus on any new signals on when a taper may begin. The U.S. central bank is also likely to provide an outlook on interest rate hikes.
* While gold is considered as a hedge against inflation and currency debasement amid widespread stimulus, a hawkish move by the Fed would diminish gold’s appeal. An eventual interest rate hike would also raise the opportunity cost of holding the non-interest bearing asset.
* Asian stock markets made a cautious start on Wednesday, while the dollar held firm near one-month high.
* European Central Bank policymakers still see the recent inflation surge as temporary but a growing number appear to be acknowledging the risk that price growth may exceed their relatively benign projections.
* Holdings of SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, fell 0.1% to 1,000.79 tonnes on Tuesday from 1,001.66 tonnes on Monday.
* Swiss exports of gold to India jumped to a five-month high in August while shipments to China fell, Swiss customs data showed on Tuesday.
* Silver climbed 1.2% to $22.74 per ounce, while palladium edged 0.2% higher to $1,910.34.
* Platinum was steady at $954.28. Prices rose 4.7% on Tuesday, its biggest one-day gain since Feb. 10.
