Gold prices were little changed on Wednesday, after touching a fresh record level earlier in the day on continued safe-haven demand, as investors awaited the US Federal Reserve’s interest rate decision due later in the day.
Spot gold fell 0.1% to $3,030.13 an ounce, as of 09:35 a.m. ET (1335 GMT).
Bullion surged to an all-time high of $3,045.24 earlier in the session, marking its 15th record peak this year.
US gold futures shed 0.1% to $3,038.00.
“There are concerns that tariffs could spark inflation, and there’s a consensus that despite rising prices from US tariffs, the Federal Reserve might start easing policy around mid-year,” said Bart Melek, head of commodity strategies at TD Securities.
US President Donald Trump raised tariffs on imports of steel and aluminium to 25%, effective last week, and has said he intends for new reciprocal and sectoral tariffs to take effect on April 2.
Gold, traditionally viewed as a safe-haven investment during times of inflation or economic volatility, has climbed over 15% so far this year.
On the geopolitical front, Russia and Ukraine accused each other of violating a new agreement to refrain from attacks on energy targets just hours after US President Donald Trump spoke by phone with Russia’s Vladimir Putin.
Violence has meanwhile returned to Gaza, where Israeli airstrikes killed more than 400 people on Tuesday, according to Palestinian health authorities.
“I expect gold to trade roughly where it is now, give or take about $25,” Melek said.
Investors are now focused on the US central bank policy decision due later in the day, followed by Fed Chair Jerome Powell’s comments.
Traders expect the Fed to hold its benchmark interest rate this month, with rate cuts likely to resume in June.
Gold becomes more attractive when interest rates are low, as it is a non-yielding asset.
Spot silver dropped 1.2% to $33.61 an ounce, platinum lost 1.6% to $980.90 and palladium fell 0.8% to $959.20.
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