Gold — Gold prices were little changed on Thursday after posting their steepest decline in weeks, as investors considered whether the U.S. Federal Reserve might raise interest rates again before the end of the year.
Spot gold stood at $4,116.67 per ounce by 0625 GMT, while U.S. gold futures were flat at $4,140.70.
The metal fell on Wednesday to its lowest level since August 5. Gold has faced pressure from a stronger U.S. dollar and higher Treasury yields, as elevated interest rates increase the opportunity cost of holding an asset that does not pay interest.
Investors are closely examining minutes from the Federal Reserve’s September meeting, which showed policymakers divided over the rationale for raising rates at the time.
Some officials believed higher rates were needed to contain the impact of energy and other price shocks. A more hawkish group, meanwhile, considered further monetary tightening necessary to keep demand-driven inflation from becoming more deeply established.
Market expectations have changed sharply. Traders now assign a 19% probability to another rate increase later this month, while the chance of a December hike has risen to 86%, according to CME’s FedWatch tool.
Chris Weston, head of research at Pepperstone, said gold faced a difficult short-term outlook. He added that a move above $4,275 would be necessary to improve the metal’s near-term prospects.
Treasury yields are expected to remain an important factor for gold. Weston said the metal could respond differently from bonds if investors begin viewing higher long-term yields as evidence of fiscal and sovereign-credit concerns rather than simply a reflection of stronger economic growth.
Other precious metals also moved significantly.
Spot silver fell 1.9% to $59.01 an ounce. Platinum gained 1.6% to $1,657.18, while palladium rose 1.1% to $1,136.80.
Marex analyst Edward Meir said silver remained on a downward path based on weakening chart patterns and forecast that it could test 2026 lows in the mid-to-high $50s.
The wider economic environment is adding to investor concerns. International Monetary Fund Managing Director Kristalina Georgieva warned that persistently elevated energy prices, record levels of public debt and risks associated with the artificial intelligence investment boom were posing threats to the global economy.
For gold investors, the interaction between inflation, energy costs, government debt and monetary policy is likely to remain a key influence on the metal’s direction for the rest of 2026.
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