An employee handles one kilogram gold bullion at the YLG Bullion International Co. headquarters in Bangkok, Thailand, on Friday, Dec. 22, 2023.
Spot gold edged 0.1% lower to $2,033.88 per ounce by 0513 GMT, after touching a two-week high of $2048.12 in the previous session.
The chances of a March rate cut have dropped to 44% from about 90% a month ago.
"With renewed hopes of a truce in Gaza, today's FOMC meeting runs the risk of disappointing doves and weighing on gold," said Simpson.
Spot silver dropped 0.5% to $23.05 per ounce, platinum slipped 0.2% to $918.79, and palladium rose 0.2% to $977.67.
Persons:
it's, Matt Simpson, Simpson, Jerome Powell
Organizations:
Co, Federal Reserve, Fed, Index, Traders, Treasury
Locations:
Bangkok, Thailand, U.S, Gaza