Gold Futures Rise to ₹1.50 Lakh Per 10g Ahead of US Fed Policy Decision

Gold prices inched higher to Rs 1.50 lakh per 10 grams in futures trade on Wednesday as investors turned cautious ahead of the US Federal Reserve's policy decision.

On the Multi Commodity Exchange, the most-traded June contract of the yellow metal went up by Rs 93, or 0.06 per cent, to Rs 1,50,120 per 10 grams in a business turnover of 9,067 lots.

Analysts said a weak US dollar and persistent geopolitical tensions in West Asia supported precious metals, while elevated crude oil prices capped further gains.

The US Federal Open Market Committee (FOMC) meeting later in the day will be the last chaired by Jerome Powell, making the policy statement and post-meeting press conference particularly significant for precious metals prices, they added.

"Gold prices have increased slightly on Wednesday, buoyed by ongoing geopolitical tensions and a weaker dollar," Gaurav Garg, Research Analyst at Lemonn Markets Desk, said.

In the international markets, Comex gold futures for the June contract gained 0.16 per cent to USD 4,615.69 per ounce in New York.

Market participants are now turning to policy decisions from the US Federal Reserve, European Central Bank and the Bank of England for clues on the next phase of global interest rates, Manav Modi, Commodities Analyst at Motilal Oswal Financial Services Ltd, said.

On the macroeconomic data front, US GDP, inflation, and durable goods order due later this week may also shape sentiment for the bullion prices in the near-term, Modi said.