Gold eases on higher oil prices ahead of Fed decision
GLD•Spot gold fell 0.1% to $4,055.59 an ounce as higher oil prices stoked inflation concerns ahead of the Federal Reserve’s decision. Analysts cut their 2026 gold price forecast for a second straight quarter, while still expecting a recovery in 2027.
1. Gold edges lower
Spot gold eased 0.1% to $4,055.59 per ounce by 0854 GMT on Wednesday, after rising about 1% in the previous session. U.S. gold futures for December delivery also fell 0.1%, to $4,070.20 per ounce.
2. Oil and Fed concerns
Oil prices rose more than $2 after an attack on a refinery in Saudi Arabia renewed supply concerns. Hamad Hussain of Capital Economics said higher oil prices and the risk of a more hawkish Fed stance appeared to weigh on gold. The Fed was widely expected to leave rates unchanged at its decision due at 1800 GMT, while traders priced an 84% probability of a December hike.
3. Forecasts and data
Investors awaited U.S. Personal Consumption Expenditures data due Thursday. Analysts lowered their 2026 gold price forecast for a second straight quarter, citing high Treasury yields, a strong U.S. dollar and expectations that rates would remain higher for longer, but still expected a recovery in 2027.
