Gold steadies near $3,000 as markets await Fed rate decision

Gold prices remained stable on Monday, hovering around the $3,000 level that was ultimately broken last week, with the focus on trade tariffs and the US Federal Reserve's policy meeting.

Spot gold rose 0.4% to $2,997.51 per ounce, after reaching a new high of $3,004.86 on Friday.

U.S. gold futures rose 0.2% to $3,005.6.

The Federal Reserve will provide updated economic estimates this week, providing the clearest evidence yet of how US central bankers perceive the likely impact of President Donald Trump's policies, which have clouded a previously strong economic picture.

There are "no guarantees" that the United States will not have a recession, but there may be an adjustment, Treasury Secretary Scott Bessent said on Sunday.

"I anticipate a consolidation in gold prices... "The market is currently in a 'wait-and-see' mode ahead of the Fed's decision," said David Meger, director of metals trading at High Ridge Futures.

Markets expect the Federal Reserve to keep interest rates on Wednesday, with the next cut coming in June.

Zero-yield bullion is regarded as a hedge against uncertainty and thrives in low-interest markets.

U.S. retail sales rose less than predicted in February, indicating moderate economic growth despite import tariffs and federal job layoffs lowering confidence.

"Should economic data continue to soften and the global tariff war escalates, gold will continue to benefit," Heraeus Metals analysts said in a note.

Meanwhile, Trump stated that he intends to call with Russian President Vladimir Putin on Tuesday to discuss ending the conflict in Ukraine.

Spot silver remained constant at $33.78 per ounce, while palladium rose 0.2% to $967.27 and platinum rose 1% to $1,002.60.