London: Gold on Wednesday traded near a one-week high on speculation the Federal Reserve will announce an expansion of asset purchases.
Gold rose 0.3 percent to USD 1,714.71 an ounce, after reaching USD 1,717.36, the highest since December 3. Silver also rose 0.4 percent to USD 33.13 an ounce.
The dollar was little changed versus the euro before the Fed concludes its two-day meeting on Wednesday.
The central bank might add Treasury purchases to an existing programme that buys 40 billion dollar in mortgage bonds each month.
North Korea confirmed it fired a rocket that placed a satellite into orbit, defying international sanctions. Holdings in gold-backed exchange-traded products fell 1.9 tonnes on Tuesday from a record to 2,627.4 tonnes.
Prices are set for a 12th consecutive annual gain as central banks from the US to China pledge more steps to spur economic growth. The metal reached an all-time high of USD 1,921.15 in September, 2011.


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