Gold Edges Higher as Markets Wait for Fed Rate Decision

Gold prices ticked up by 0.8% to $4,328.39 an ounce as traders waited for the Federal Reserve's rate decision and Chair Kevin Warsh's press conference.

The rise in gold was despite December US gold futures falling 0.9% to $4,369.50, with traders having largely priced in a 25-basis-point hike from the Fed, according to CME FedWatch, which showed a 92.4% chance of at least this increase.

The resilience of gold despite higher long-term bond yields suggests investors are also keeping an eye on fiscal and political uncertainty, noted Commerzbank.