Investing.com - Gold prices fell to a more than one-week low in North American trading on Tuesday, ahead of an expected interest rate hike by the Federal Reserve.
Comex gold futures were at $1,265.89 a troy ounce by 8:20AM ET (1220GMT), down $3.00, or around 0.3%, after falling to its lowest since June 2 at $1,263.84 in overnight trade. Meanwhile, spot gold was at $1,263.88.
Gold prices settled lower on Monday for a fourth session in a row.
The Federal Reserve kicks off its two-day policy meeting on Tuesday, at which it is widely expected to raise the fed funds target range by a quarter point to a range between 1.0%-1.25%.
The U.S. central bank will release its latest forecasts for economic growth and interest rates, known as the "dot-plot".
Fed Chair Janet Yellen is to hold what will be a closely-watched press conference 30 minutes after the release of the Fed's statement, as investors look for fresh hints on the pace of further tightening in the months to come and next year.
Market players will also pay close attention to details of the Fed's plan to reduce its $4.5 trillion balance sheet later this year.
The median Fed policymaker forecast is for two more rate increases by year-end, after already raising its benchmark interest rate once this year, by a quarter percentage point in March.
But a recent run of disappointing U.S. economic data combined with growing uncertainty about the Trump administration's ability to pass tax and healthcare reforms sparked doubts over the Fed's ability to raise rates as much as it would like before the end of the year.
Meanwhile, the drama in Washington continues on Tuesday, with Attorney General Jeff Sessions set to speak to the Senate Intelligence Committee about possible ties between President Donald Trump's campaign and Russian meddling in the 2016 presidential race.
Sessions will likely face tough questions at the open hearing over his dealings with Russian officials during the campaign and whether he had a role in the firing of former FBI Director James Comey.
Tuesday's testimony, scheduled to start at 2:30PM ET (1830 GMT), will be the first for Sessions in a congressional hearing since he became attorney general.
Also on the Comex, silver futures slumped 16.3 cents, or about 1%, to $16.78 a troy ounce, a level not seen since May 19.
Elsewhere in metals trading, platinum ticked down 0.5% to $939.65, while palladium slipped around 0.6% to $859.35 an ounce, after marking their highest finish since September 2014 in the prior session, buoyed by tight supplies.