Gold is trading almost flat today. Earlier in the session the precious metal further declined for a third day hitting a one-week low at USD1,272.00. Markets await the FED's two-day policy meeting. The European Union agreed to work with the new Greek government to keep the country in the Eurozone after the anti-austerity party Syriza scored a win, making gold less attractive as safe haven asset.

Gold prices rose nearly 9 percent this year, after declining for two consecutive years, ending 2014 almost flat. Speculations that the FED will hold back its benchmark interest-rate hike till the end of the year further helped gold but the forecast for the current year remains uncertain.

The precious metal is currently quoted at USD1,280.60, -0,02% a troy ounce. On Thursday last week gold reached a five-month high at USD1,307.40.