WASHINGTON (dpa-AFX) - Gold ticked higher on Wednesday and the dollar weakened as traders await the Fed's interest-rate decision later in the day.
Spot gold rose 0.3 percent to $1,721.92 per ounce, while U.S. gold futures were up 0.2 percent at $1,720.20.
Market observers are expecting a 75-bps rate hike to tame record-high inflation.
The FOMC statement and accompanying press conference by Fed Chair Jerome Powell will take center stage as bond markets and most economic indicators signal an increased likelihood of recession.
Gold prices have fallen more than $300 since climbing past the $2,000-per-ounce level in early March in the face of unprecedented policy tightening by major central banks.
Investors also await U.S. second-quarter GDP data on Thursday for signs whether the world's largest economy has already entered a recession.
Two consecutive quarters of falling GDP is a common definition of recession, but the Biden administration says the economy is not heading into a recession.
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