Gold prices slipped modestly on Wednesday as investors adopted a cautious stance ahead of the Federal Reserve’s upcoming interest rate decision.
Although the Fed is widely expected to maintain current rates, market participants are focused on any forward guidance that could indicate the timing and size of future rate cuts.
Geopolitical tensions in the Middle East, particularly the Israel-Iran situation, have provided a floor for bullion, preventing a steeper decline. Such conflicts typically bolster demand for gold as a safe-haven asset.
Even with the minor retreat, analysts remain confident that gold will hold above $3,000 per ounce, supported by steady central bank purchases and continued interest from Chinese investors.