PRECIOUS-Gold hovers near $3,000-mark ahead of US rate decision

March 18 (Reuters) - Gold held steady near the $3,000 level mark on Tuesday, hovering near an all-time high hit last week, as investors awaited the U.S. Federal Reserve's policy decision to gauge the country's economic outlook amid tariffs and trade woes.

FUNDAMENTALS

Spot gold XAU= was flat at $3,002.28 an ounce as of 0025 GMT. Bullion rose above the key $3,000/oz milestone to notch a record high at $3,004.86 on Friday.

U.S. gold futures GCcv1 rose 0.2% to $3,012.00.

New economic projections from Fed officials this week will provide the most tangible evidence yet of how U.S. central bankers view the likely impact of Trump administration policies that have clouded a previously solid economic outlook.

Top forecasters have marked down their expectations for growth this year, upped the perceived risk of recession and anticipate higher inflation as President Donald Trump's tariffs filter through global markets.

The Fed is expected to hold its benchmark interest rate steady in the 4.25%-4.50% range at the end of its two-day policy meeting on Wednesday.

Meanwhile, Trump said he would speak to Russia's Vladimir Putin on Tuesday morning about ending the war in Ukraine.

On Monday, Trump said he would hold Iran responsible for any attacks carried out by the Houthi group that it backs in Yemen, as his administration expanded the biggest U.S. military operation in the Middle East since Trump returned to the White House.

An Israeli air strike killed three Palestinians in Gaza on Monday as they tried to gather firewood, medics said, with no sign of progress in renewed talks on sustaining a ceasefire deal between Israel and Hamas.

Non-yielding gold is considered a hedge against political risks and inflation and thrives in a low interest rate environment.

Spot silver XAG= gained 0.1% to $33.86 an ounce, platinum XPT= added 0.4% to $1,004.25 and palladium XPD= rose 0.5% to $969.77.

DATA/EVENTS (GMT)

0430 Japan Tertiary Ind Act NSA Jan

1000 EU Total Trade Balance SA Jan

1000 Germany ZEW Economic Sentiment, ZEW Current Conditions Mar

1230 US Housing Starts Number, Import Prices YY Feb

1315 US Industrial Production MM Feb