Gold settled lower on Wednesday as minutes from the Federal Reserve's January meeting showed officials were nearing a decision on how to adjust a promise to keep interest rates low for a while to come.
At the meeting, the Fed ultimately decided to make a second modest cut to its bond-buying program, which now runs at $65 billion per month. It made the move despite turmoil at the time in emerging markets brought on in part by the withdrawal of Fed stimulus.
Earlier, a Labor Department report showed little sign of price increases at the factory gate weighed on bullion's inflation-hedge appeal. Separate economic data that showed U.S. housing starts posted their biggest drop in almost three years also failed to lift gold.
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