Bengaluru: Gold inched up from its lowest in over two weeks on Tuesday as the dollar shed some gains, while the market´s focus turned to a two-day Federal Reserve meeting that kicks off later in the day.
Spot gold was up 0.2 percent at $1,308.80 an ounce by 0404 GMT, after dropping to its lowest level since Aug. 31 in the previous session. U.S. gold futures for December delivery edged up 0.1 percent to $1,312.20 an ounce. "Even though gold still seems to be in a bullish trend, I think we´ll probably test $1,300 first and then you´ll see fresh speculative buying coming back in," a Hong-Kong based trader said. "Overall risk-on sentiment and the dollar strength seem to be driving gold lower. Generally, people are not buying into gold because stock markets are higher."
Asian shares wavered on Tuesday, after touching a decade high on the previous day, hobbled by uncertainty as traders waited on the Fed meeting for clues on U.S. monetary policy.