By Gina Lee
Investing.com – Gold was up in Asia on Wednesday morning, adding to its gains from the previous session.
Gold futures were up 0.22% to $1,726 by 12:16 PM ET (5:16 AM GMT). They gained 0.10% during the previous session.
The anticipation from a U.S. Federal Reserve meeting scheduled for later in the day boosted investors’ confidence. This increased confidence level also saw Asian stocks gain and the dollar retreat.
The yellow metal normally moves inversely to stocks.
Investors will be keeping a close eye on whether the Fed will leave interest rates near zero, and if it will introduce any further measures to cushion the economic fallout from COVID-19.
The European Central Bank is also scheduled to meet on Thursday.
Gold will benefit from further widespread stimulus measures as it acts as a hedge against inflation and currency debasement.
Meanwhile, the Bank of Nova Scotia said on Tuesday that it would close its metals business.