Fed policy makers could announce a doubling of the pace of its bond-buying taper and lay out a steeper path of expected interest rate hikes, according to Bloomberg Economics.
Bullion is heading for its first annual loss in three years amid diminishing monetary support from central banks, although uncertainties surrounding the impact of the new virus variant could stoke demand for haven assets. The World Health Organization is concerned that omicron is being dismissed as mild, even as it spreads at a faster rate than any previous strain of Covid-19.
Spot gold rose 0.1% to $1,773.18 an ounce by 9:02 a.m. in Singapore after dropping 0.9% Tuesday. The Bloomberg Dollar Spot Index eased 0.1% after advancing 0.3% in the previous session. Silver climbed, platinum was flat and palladium traded near the lowest level since March 2020.