Gold Holds Steady As Investors Await Fed Meeting Outcome

Gold prices were flat to slightly higher on Wednesday as investors look ahead to a key monetary policy decision from the Federal Reserve later in the day for direction.

Spot gold edged up 0.1 percent to $1,860.35 per ounce, while U.S. gold futures were up 0.3 percent at $1,861.50.

The dollar traded flat and the 10-year U.S. Treasury note was down 0.1 percent at 1,499 percent after the release of mixed U.S. economic data overnight.

Separate reports showed Americans slowed their spending in May and producer prices rose at their fastest annual clip in nearly 11 years in the month.

New York manufacturing activity cooled somewhat in June and confidence among homebuilders declined to a 10-month low, while a measure of industrial production grew at a stronger pace than expected in May.

The Fed's two-day meeting ends later today with the release of its usual statement and the quarterly projections.

As inflation concerns mount, investors will be on the lookout for any indication that the U.S. central bank is considering winding down the pace of asset purchases.

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