Gold prices near decision point as focus shifts to Fed [Video]

Gold prices are currently in wait-and-see mode as traders look to comments from the Fed for clues on the precious metals next big move.

The major event, that traders will be closely monitoring is the outcome of the U.S Federal Reserve's two-day policy meeting, which is due to end on Wednesday, 28 April.

While no significant changes are expected from the Fed's monetary policy statement itself, traders will want to make sure Fed Chair Jerome Powell remains as dovish as before during his press conference on Wednesday. This is why extra attention will be paid to any hints of potential tapering, in light of rising inflation and a pickup in economic growth.

During every press conference already this year, Powell has been asked about the looming inflation risk. To this, he's had an unwavering response – any price pressures seen this year "will be transitory." But as food, housing, and building costs, as well as commodity prices, continue to surge, Powell is inevitably likely to face a new wave of questions surrounding inflation.

Other key events that traders will be watching closely this week include; U.S. Q1 GDP data and the Fed’s preferred inflation measure – PCE data.

Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions: