Gold prices traded flat on Wednesday as investors took a cautious approach to next week's FOMC policy meeting.
In the Asian session, the yellow metal traded at around $1,964 per ounce, while gold futures were little changed at $1,980 per ounce.
US dollar trading was limited again amid uncertainty about the next steps in the Federal Reserve's (Fed) policy setting.
This was followed by a decline in the 10-year US treasury yield which fell to around 3.66%.
As a result, it gives some opportunity for the gold precious metal to be traded more strongly even though there are not many price changes displayed.
Fed funds futures show investors have placed the odds on an 80.6% chance that the Fed will keep interest rates unchanged, according to CMEGroup's Fedwatch tool.
However, at the same time investors also see a 51% chance of another 25 basis point rate hike in July.
US inflation data and the FOMC policy meeting scheduled for next week will answer this question.
