Jan 26 (Reuters) - Gold prices were little changed on Wednesday, ahead of a U.S. Federal Reserve meeting that would decide on rate hikes for the year, while safe-haven bullion was supported by concerns over the Russia-Ukraine conflict.
FUNDAMENTALS
* Spot gold was flat at $1,847.51 per ounce by 0108 GMT. U.S. gold futures were down 0.2% to $1,848.90.
* U.S. President Joe Biden said on Tuesday he would consider personal sanctions on President Vladimir Putin if Russia invades Ukraine, as Western leaders stepped up military preparations and made plans to shield Europe from a potential energy supply shock.
* The Fed's two-day meeting ends later in the day and Fed funds futures have fully priced in a quarter-point tightening for the Fed's March meeting, plus three more for 2022.
* Gold is generally seen as an inflationary hedge, but it is highly sensitive to rising U.S. interest rates, which increases the opportunity cost of holding non-interest bearing bullion.
* Expected interest rate hikes by the Fed may delay emerging Asia's economic recovery and keep pressure on policymakers to guard against the risk of capital outflows, a senior International Monetary Fund official said on Tuesday.
* SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings rose about 0.5% to 1,013.10 tonnes on Tuesday from 1,008.45 tonnes on Monday.
* Rating agency Moody's cut Kyrgyzstan's credit rating to B3 from B2, saying the authorities' decision to nationalise the Central Asian nation's largest gold mine last year indicated weak governance and investment climate deterioration.
* Spot silver was down 0.1% to $23.79 an ounce. Palladium shed 0.3% to $2,192.70 and platinum was unchanged at $1,025.27.
DATA/EVENTS (GMT) 1500 US New Home Sales-Units Dec 1900 US Federal Open Market Committee announces its decision on interest rates followed by statement (Reporting by Asha Sistla in Bengaluru; Editing by Shailesh Kuber)
