<p>Gold prices rose on Wednesday on a softer dollar, although investors refrained from placing big bets ahead of a key US Federal Reserve policy statement that could provide cues on its pace of interest rate hike.</p>.<p>Spot gold was up 0.2 per cent at $1,650.62 per ounce while US gold futures gained 0.3 per cent to $1,653.80.</p>.<p>The dollar index dipped 0.2 per cent, making the greenback-priced gold less expensive for holders of other currency.</p>.<p>"If we do get any sort of story for US dollar weakness over that 50-basis-point hint from the Fed, then it shouldn't be too hard for gold to get back up to $1,670, $1,680 even over the coming sessions," said City Index analyst Matt Simpson.</p>.<p>The US Fed is scheduled to release its policy statement followed by Chief Jerome Powell's press conference.</p>.<p>While a 75-basis-point rate increase is largely priced in, investors will seek cues on weather there is a possibility of Fed slowing down its tightening pace.</p>.<p>For the December meeting, the traders are split on the odds of a 75- or 50-bps rate hike.</p>.<p>"The bigger picture is that the Fed is still going to continue hiking rates, they could be up to 5 per cent, but we're still close at the end of that hiking cycle," Simpson added.</p>.<p>Data on Tuesday showed US job openings unexpectedly rose in September, highlighting a resilient labour market and that rapid interest rate hikes have yet to bite hard in the real economy.</p>.<p>Higher interest rates increase the opportunity cost of holding the non-yielding gold.</p>.<p>Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 1.45 tonnes to 919.12 tonnes on Tuesday.</p>.<p>Spot silver rose 0.1 per cent to $19.68 per ounce, having hit a three-week peak on Tuesday.</p>.<p>Platinum gained 0.9 per cent to $951.50 and palladium climbed 1.4 per cent to $1,905.99.</p>
<p>Gold prices rose on Wednesday on a softer dollar, although investors refrained from placing big bets ahead of a key US Federal Reserve policy statement that could provide cues on its pace of interest rate hike.</p>.<p>Spot gold was up 0.2 per cent at $1,650.62 per ounce while US gold futures gained 0.3 per cent to $1,653.80.</p>.<p>The dollar index dipped 0.2 per cent, making the greenback-priced gold less expensive for holders of other currency.</p>.<p>"If we do get any sort of story for US dollar weakness over that 50-basis-point hint from the Fed, then it shouldn't be too hard for gold to get back up to $1,670, $1,680 even over the coming sessions," said City Index analyst Matt Simpson.</p>.<p>The US Fed is scheduled to release its policy statement followed by Chief Jerome Powell's press conference.</p>.<p>While a 75-basis-point rate increase is largely priced in, investors will seek cues on weather there is a possibility of Fed slowing down its tightening pace.</p>.<p>For the December meeting, the traders are split on the odds of a 75- or 50-bps rate hike.</p>.<p>"The bigger picture is that the Fed is still going to continue hiking rates, they could be up to 5 per cent, but we're still close at the end of that hiking cycle," Simpson added.</p>.<p>Data on Tuesday showed US job openings unexpectedly rose in September, highlighting a resilient labour market and that rapid interest rate hikes have yet to bite hard in the real economy.</p>.<p>Higher interest rates increase the opportunity cost of holding the non-yielding gold.</p>.<p>Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 1.45 tonnes to 919.12 tonnes on Tuesday.</p>.<p>Spot silver rose 0.1 per cent to $19.68 per ounce, having hit a three-week peak on Tuesday.</p>.<p>Platinum gained 0.9 per cent to $951.50 and palladium climbed 1.4 per cent to $1,905.99.</p>