02:00 PM EST, 01/29/2025 (MT Newswires) -- (Updates prices.)

Gold prices were steady mid-afternoon on Wednesday as the market awaits the end of the two-day meeting of the Federal Reserve's policy committee that is expected to leave interest rates unchanged.

Gold for April delivery was last seen down US$2.50 to US$2,792.10 per ounce.

The Federal Open Market Committee will end its meeting at 2:00 p.m. Eastern time followed by a press conference with Fed chair Jerome Powell. The group is expected to stand pat on rates amid a chaotic start to the Trump Administration and its promise to levy 25% tariffs on imports from Canada and Mexico beginning on Feb.1.

"Investors continue to seek shelter from an unpredictable US government, with tariffs potentially lifting inflation, as well as concerns about the US economy's spiraling debt, which few believe can and will be brought under control. Focus on today's FOMC meeting and the subsequent press conference," Saxo Bank noted.

The dollar moved higher early, with the ICE dollar index last seen up 0.06 points to 107.93.

Treasury yields moved higher, raising the carrying cost of owning gold. The U.S. two-year note was last seen paying 4.228%, up 1.7 basis points, while the yield on the 10-year note was up 1.9 points to 4.557%