PRECIOUS-Gold flat ahead of Fed meeting as investors await monetary policy cues

* U.S. FOMC announces interest rate cut decision at 1800 GMT
* Markets await BoJ meeting on Thursday
* Gold to remain neutral between $1,488-$1,523.61/oz -
technicals

(Adds comments, updates prices)
By Karthika Suresh Namboothiri
Sept 18 (Reuters) - Gold was steady on Wednesday as
investors awaited news on the U.S. central bank's stance on
monetary policy, while some easing of the oil market's woes
dented demand for safe-haven bullion.
Spot gold XAU= was barely changed at $1,501.39 per ounce
as of 0708 GMT. U.S. gold futures GCcv1 were 0.3% lower at
$1,509.10 per ounce.
"Gold prices are trading with weak momentum. Last week the
ECB (European Central Bank) already cut interest rates, now the
focus will be on the FOMC (Federal Open Market Committee)," said
Jigar Trivedi, a commodities analyst at Mumbai-based Anand Rathi
Shares & Stock Brokers.
"The recent high near $1,560 in gold is a good resistance as
of now. I do not think prices will go above it, lest the Fed
indicates there will be another rate cut in December."
Economists and analysts widely expect the U.S. Federal
Reserve to cut its benchmark rate for a second time this year to
counter risks posed by the U.S.-China trade war.
The chaotic moves in money markets and late-day swings in
U.S. federal funds futures mean the CME's FEDWATCH tool shows
about a 65% chance that the Fed will cut rates by 25 basis
points on Wednesday.
Denting safe-haven appeal for gold, Saudi Arabia sought to
reassure markets after the attack on Saturday halved its crude
oil output, saying full production would be restored by the
month's end. O/R
A risk-on sentiment in the market affects demand for
bullion, often seen as an alternative investment during times of
political and financial uncertainty.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS was up 0.13%, while the dollar .DXY was little
changed against a basket of other currencies at 98.36.
MKTS/GLOB USD/
Spot gold remains neutral in a range of $1,488-$1,523.61 per
ounce, and an escape could suggest a direction, according to
Reuters technical analyst Wang Tao. "Gold's correction below $1,500 after touching this year's
highs above $1,550 is seen as healthy. Further consolidation is
expected over the next few weeks, especially as trade headlines
continue to exert their influence on near-term price action,"
UBS analysts said in a note.
Also in focus is the Bank of Japan's policy meeting due on
Thursday. The central bank is expected to ease its policy this
year. Among other precious metals, platinum XPT= dropped 0.5% to
$938.33 per ounce, while silver XAG= eased 0.6% to $17.90 an
ounce. Palladium XPD= dipped slightly to $1,598.68.