2020.04.2910:32:00UTC+00Gold Edges Lower Ahead Of Fed Decision

Gold edged lower on Wednesday as investors reacted to reports about reopening of businesses across Europe and in a few U.S. states.

Spot gold slid 0.1 percent to $1,707.41 per ounce, while U.S. gold futures were down 0.15 percent at $1,720 per ounce.

After Italy announced a timetable for reopening its economy and daily life beginning on May 4, the French and Spanish governments also announced plans to ease anti-virus controls, allow restaurants and other businesses to reopen gradually.

Elsewhere in the United States, some governors are pushing to reopen their states despite warnings by health experts that moving too fast might lead to new outbreaks.

Traders look ahead to the Federal Reserve's monetary policy announcement later today for guidance on the future path of interest rates.

Some economists have suggested the Fed could take steps toward yield curve control, announcing targeted asset purchases as part of an effort to pin down longer-term yields.

The European Central Bank meets Thursday following Fitch's decision to downgrade its rating on Italian debt to BBB-, one notch above junk.