Investing.com - Gold prices held steady on Monday, after the release of upbeat U.S. data, as investors remained on the sidelines ahead of the Federal Reserve's policy meeting due to begin on Tuesday.
Comex gold futures were little changed at $1,271.8 a troy ounce by 08:40 a.m. ET (12:40 GMT).
The U.S. Commerce Department reported on Monday that personal spending rose more than expected last month.
The U.S. dollar was already boosted after the Commerce Department reported on Friday that the U.S. economy grew at a 3% annual rate in the third quarter, better than forecasts for growth of 2.5%.
The stronger-than-expected reading underlined the case for the Federal Reserve to raise interest rates befoe the end of the year.
The greenback was also supported after House Republicans passed a budget blueprint for 2018 last week, setting the stage for a tax overhaul. Some investors believe tax reforms could bolster growth and prompt the Fed to raise rates at a faster pace.
However, investors remained cautious following a report that U.S. President Donald Trump is considering nominating Federal Reserve Governor Jerome Powell to lead the U.S. central bank, a move that would signal continuity for monetary policy.
Powell is seen less hawkish than Stanford University economist John Taylor, another potential nominee to lead the Fed.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.18% at 94.56.
Elsewhere on the Comex, silver futures slipped 0.12% to $16.73 a troy ounce.