Gold edges lower ahead of Fed policy meeting

Gold bars

Gold futures slipped slightly on Tuesday as the dollar strengthened, ahead of the US Federal Reserve’s two-day policy meeting set to conclude on June 18.

August gold futures dipped 0.15%, or $5.8, to $3,411.5 an ounce in early trade.

Meanwhile, spot gold rose 0.3%, or $9.91, to $3,395.14 an ounce as of 08:56 a.m. Mecca time.

The US dollar index, which tracks the greenback against a basket of six major currencies, climbed 0.2% to 98.19.

Among other precious metals, July silver futures rose 0.15% to $36.51 an ounce, while spot platinum gained a similar 0.15% to $1,251.09. Spot palladium, however, edged down 0.15% to $1,033.13.

The Fed is widely expected to hold interest rates steady in the 4.25%-4.5% range for a fourth consecutive meeting, with markets closely watching policymakers' quarterly projections for signals on the future path of monetary policy.