Gold prices have fallen!
The spot gold price fell 0.1% to $4,288.48 per ounce.
Gold prices fell on Wednesday as investors awaited the U.S. Federal Reserve’s (Fed) interest rate decision. The spot gold price declined 0.1% to $4,288.48 per ounce. U.S. gold futures for December also fell 0.1% to $4,328.10.
According to CME FedWatch data, investors are pricing in a 92.4% probability of at least a 25-basis-point rate hike by the Fed. Analysts say a more hawkish stance from the Fed could put additional pressure on gold prices. Conversely, a more dovish message could support a recovery in gold prices.
A firm dollar and oil prices above $100 are also affecting the gold market. A stronger dollar makes gold more expensive for investors using other currencies, while higher oil prices increase inflationary pressures.
Geopolitical risks also remain in focus. Security warnings have been issued in Saudi Arabia.
Among other precious metals, silver was steady at $63.67, platinum fell 0.3%, while palladium gained about 1%. Commerzbank believes gold’s resilience could be supported by long-term financial concerns and rising political risks in the United States.