Gold Prices Are Holding Steady While Dollar Strengthens

Gold prices stabilized on Monday as investors awaited the crucial Federal Reserve policy meeting scheduled for later this week, while the dollar saw slight gains against major currencies.

The Federal Reserve is set to commence its two-day policy meeting tomorrow, focusing on recent inflation data that surpassed expectations.

Market participants are keenly awaiting the Fed's official policy statement, along with Fed Chair Jerome Powell's press conference, for insights into the future trajectory of US monetary policies.

According to the Fedwatch tool, there is a 99% probability that the Fed will maintain interest rates unchanged.

Meanwhile, the dollar index rose by 0.2% to 103.6 as of 18:29 GMT, reaching a session-high at 103.6 and a low at 103.3.

In terms of trading, gold spot prices increased by 0.1% to $2163 per ounce as of 18:29 GMT.