Gold traded steady on Tuesday as investors await the FOMC policy meeting that will take place this week.
Ahead of the opening of the European session, gold prices rose to $ 1,735 per ounce, while gold futures traded positive at around $ 1,733 per ounce (2.15pm Malaysian time).
Gold prices have been supported by 10 -year US treasury yields which recorded a slight decline in today’s trading session, causing the movement of the greenback dollar against most major currencies to be restricted.
However, the market’s continued optimism for a faster economic recovery from the Covid-19 crisis limited the rise of the precious metal gold.
Investors are now awaiting a new catalyst from the Federal Reserve (Fed) policy meeting that is expected to boost their outlook for growth following the launch of the Covid-19 vaccine and the implementation of the US stimulus package.
U.S. Treasury Secretary Janet Yellen previously told that U.S. inflation risks are small and manageable. However, the market does not seem to react to the statement.
