Gold futures inched lower Wednesday ahead of an eagerly awaited policy statement from the Federal Reserve due after prices for the metal settle for the session.

February gold was $2.80, or 0.2%, lower at $1,117.80 an ounce, after the precious metal closed Tuesday at its highest level since Nov. 2. April gold which is also among the most active contracts, traded at $1,117.80, down $2.80, or 0.3%.

Although the Fed isn’t expected to raise rates at its two-day policy meeting that began Tuesday, it is slated to release a statement at 2 p.m. Eastern Time, 30 minutes after the settlement price for gold is set. The U.S. central bank’s policy statement could reveal clues about the Fed’s pace of interest-rate hikes, which can influence momentum for precious metals that don’t offer a yield.

A slowdown in the global economy has resulted in a flight to dollars, which has increased the value of the buck. A stronger dollar can weigh on dollar-denominated assets, making them less attractive to holders of other currencies.

In other metals, March silver gave up 4.4 cents, or 0.3%, to trade at $14.52 an ounce. March copper traded at $2.073 a pound, up 3.6 cents, or 1.7%. April platinum rose $6.80, or 0.8%, to $883.70 an ounce, while March palladium added $8.75, or 1.8%, to $501.50 an ounce. (sdm)

Source: Bloomberg