(Recasts after Fed statement, adds quotes, updates prices) * Fed says it will begin taper later this month * Gold hits lowest level since Oct. 13 * Upbeat payrolls data adds to pressure on gold Nov 3 (Reuters) - Gold prices held near their weakest level since mid-October on Wednesday after the U.S. Federal Reserve announced tapering of its pandemic-era stimulus measures in a widely expected move. The Fed will start trimming its monthly bond purchases in November with plans to end them in 2022, it said in a statement at the end of a two-day meeting. Spot gold was down 0.9% at $1,770.61 per ounce by 14:51 EDT (1851 GMT), marginally paring losses after the Fed decision. It had earlier hit its lowest since Oct. 13 at $1,757.63. U.S. gold futures settled down 1.4% at $1,763.9. “Gold coming into the meeting was kind of preparing for the worst and that’s why it was down at around $1,758 since then,” said Phillip Streible, chief market strategist at Blue Line Futures in Chicago. “We will wait before we establish any positions on gold, on either the long or short side, and don’t expect too much movement because we do have the next jobs figure (this week).” The U.S. Labor Department’s employment report for October is due on Friday. Data earlier on Wednesday showed U.S. private payrolls increased more than expected in October. The Fed also pointed to the recovery in economic activity and employment in its statement while holding on to its belief that high inflation would prove “transitory” and likely not require a fast rise in interest rates. “While interest rate policy is probably number one in everybody’s minds, a very, very close second are the inflationary pressures that we have in the market at the moment,” said David Meger, director of metals trading at High Ridge Futures. Ultra-loose U.S. monetary policy has helped drive gold sharply higher since the financial crisis of the late 2000s, with low-interest rates cutting the opportunity cost of holding non-yielding assets and inflation fears stoking demand for a hedge. Silver fell 0.4% to $23.43 per ounce, platinum slid 0.7% to $1,030.94 and palladium shed 0.6% to $1,999.77. (Reporting by Amy Caren Daniel, Bharat Govind Gautam, Swati Verma in Bengaluru; Editing by Krishna Chandra Eluri and Aditya Soni)