Gold edges lower as dollar stands firm

Gold edged lower in Europe two days back as the dollar firmed a touch. But held near $1,340 an ounce as investers waited for US data on monetary easing in the US. The Federal reserve meeting could have signifi-
cant impact on dollar.The Federal reserve to discuss whether to extend its quantitative easing policy to accelerate growth.
 Spot gold was bid at $1,335.17 an \ounce against $1,338.80 late on Monday.US gold futures for December delivery eased $3.30 an ounce to $1,335.50. In early days this month gold price hit $1,387.10
retreated as investors worried that they had too heavy priced in expected monetary easing from the Fed.
Gold typically falls as dollar rises and vice-versa with strength in the US unit curbing gold's appaeal as an
alternative asset and making dollar priced commodities more expensive for holders of other currencies.
The dollar firmed 0.2% against a basket of currencies on Tuesday as market participants ponders over
the quantitative easing the Fed would opt for. The dollar gained against Yen following remainders from Japanese officials about the possibility to curb Yen strength.The US currency against the euro struck below
$1.40 as market participants pondered over the monetay policy the Fed. would opt for