Gold edges lower before Fed decision and Warsh comments
GLD•Spot gold fell 0.1% to $4,052.80 an ounce as investors awaited the Federal Reserve’s rate decision and Chair Kevin Warsh’s comments. Traders priced in an 84% probability of a December rate hike.
1. Gold dips ahead of Fed
Spot gold edged 0.1% lower to $4,052.80 per ounce by 9:26 a.m. EDT, while U.S. gold futures for December delivery fell 0.2% to $4,066.20. The Federal Reserve was due to announce its decision at 2 p.m. EDT, followed by a press conference with Chair Kevin Warsh.
2. Rate outlook and other metals
The Fed was widely expected to leave its benchmark rate unchanged in the 3.75%-4.00% range. Traders priced in an 84% probability of a hike in December, while U.S. Personal Consumption Expenditures data was due Thursday. Oil rose more than 1% after an attack on a refinery in Saudi Arabia renewed concerns about Middle East supply risks. Spot silver fell 0.4%, platinum lost 1.1% and palladium slipped 0.2%.
