Gold Stays Steady Ahead of Fed Decision and US-Iran Deal Clarifications
Spot gold was barely moved, trading at $4,325.59 per ounce by 8:20 a.m. EDT, while U.S. gold futures slipped 0.2% to $4,345.00. The market is focused on the Federal Reserve's rate decision, policy statement and the updated projections that will be released at 2 p.m. EDT, followed by a press conference from the new chair Kevin Warsh, who succeeded Jerome Powell last month. Analysts expect rates to stay unchanged, but any hint of hawkishness from Warsh could pressure gold, which is highly sensitive to interest‑rate expectations, noted Lukman Otunuga of FXTM.
Technical charts suggest that if the $4,300 level holds, gold could climb toward $4,350, whereas a break below $4,300 might trigger a sell‑off back to the $4,250‑$4,200 support zone. The metal had touched a near six‑month low last week as inflation fears, fueled by the Iran conflict, raised expectations of further U.S. rate hikes. Although gold is traditionally a hedge against inflation, higher rates tend to weigh on the non‑yielding bullion.
Prices recovered after the United States and Iran announced a framework agreement, yet President Donald Trump warned that the deal was not final and hinted at the possibility of resuming bombing if he disagreed. Intesa Sanpaolo economist Daniela Corsini projected that gold could average around $4,000 per ounce by year‑end, with silver near $60, potentially reaching cyclical lows in late 2026 to early 2027. In the broader metals market, spot silver fell 0.5% to $69.84 per ounce, platinum dropped 0.9% to $1,787.15, and palladium slipped 0.2% to $1,349.11.
