Daily Gold Update

Source: Marketwatch

New York— Gold futures ended a volatile session up slightly Tuesday, recouping a bit of the previous session's slide, but the precious metal remained stuck in a range amid hesitations ahead of a monetary policy statement from the Federal Reserve Wednesday. "I would be surprised if they did anything dramatic. The Fed is trying to nurse the recovery along without killing off the housing market again. In terms of gold, it keeps the uncertainty up there a bit. That keeps a floor (under prices)," said Michael Wallace, global market strategist at Action Economics. Gold for August delivery gained $3.30 to end at $924.30 an ounce on the New York Mercantile Exchange. It earlier rose as high as $927.30 and dropped to a low of $913.20.

On Monday, the contract dropped $15.20, or 1.6%, to end at $921 an ounce. The June contract ended at $920.60, the weakest settlement since May 11. "You had a pretty steep drop in stocks yesterday, and then other indicators like the VIX, the volatility index, gapped up, which was also supportive of gold," Wallace said. See full story.