Gold prices were little changed on Wednesday after posting gains for four straight sessions, as easing geopolitical tensions in the Middle East helped calm inflation concerns while investors prepared for the Federal Reserve’s latest policy announcement.

Spot gold slipped 0.1% to $4,327.56 an ounce by 03:14 ET (07:14 GMT), while U.S. gold futures eased 0.2% to $4,347.26 an ounce.

The precious metal has staged a notable recovery in recent days after rebounding from multi-month lows near $4,000 an ounce.

Investor sentiment has been supported by developments surrounding a provisional agreement between the United States and Iran aimed at reducing regional tensions.

The framework extends the current ceasefire and includes provisions that would allow Iran to resume oil exports while broader negotiations continue.

The prospect of additional Iranian oil entering global markets has contributed to a sharp decline in crude prices and reduced fears of another energy-driven inflation surge.

As inflation concerns have moderated, investors have scaled back expectations for more restrictive monetary policy, creating a more supportive backdrop for gold.

The metal has also benefited from weakness in the U.S. dollar, with the U.S. Dollar Index trading close to its lowest level in ten days.

Attention is now firmly fixed on the Federal Reserve’s policy decision, the first under Chair Kevin Warsh.

While markets broadly expect policymakers to leave interest rates unchanged, investors will carefully examine updated economic forecasts and the Fed’s “dot plot” projections for indications about the future path of monetary policy.

Any signs that officials remain open to interest-rate cuts later this year could support bullion prices further.

Conversely, a more hawkish tone could strengthen the dollar and push Treasury yields higher, potentially limiting gold’s recent advance.

Underlying demand for gold remains strong despite recent market volatility.

According to a recent survey conducted by the World Gold Council, 45% of central bank reserve managers expect to increase their gold holdings over the next twelve months.

The findings highlight gold’s continued role as both a portfolio diversifier and a hedge against geopolitical and economic uncertainty.

Elsewhere in the precious metals market, silver gained 0.5% to $70.34 an ounce, while platinum fell 1.1% to $1,788.72 an ounce.

Industrial metals also posted modest gains, with benchmark copper futures on the London Metal Exchange rising 0.3% to $13,833.33 per tonne. U.S. copper futures advanced 1% to $6.54 per pound.

Gold price