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Gold little changed after Fed holds rates steady; analyst sees gold sliding to $3,900

Grade Bbearish AI signal$XAU
Gold held near flat after the Federal Reserve kept interest rates unchanged at 3.75%-4.00%, while analysts warned that bullion could face further downside pressure in the near term. Sucden Financial sees gold testing support near $3,900/oz ahead of the Fed's December meeting, as elevated Treasury yields and a stronger dollar weigh on precious metals. Gold could face additional losses before stabilizing, although Sucden expects a recovery toward $4,200-$4,300/oz by mid-January 2027.

Bullish strength: 25/100

  • Fed held rates steady, avoiding an immediate increase in borrowing costs.
  • Sucden expects gold to recover to $4,200-$4,300/oz by mid-January 2027.

Bearish strength: 75/100

  • Sucden expects gold to test support near $3,900/oz ahead of the December Fed meeting.
  • Elevated Treasury yields and the dollar are weighing on precious metals.
  • Comex gold fell 0.5% to $4,036/oz in Wednesday's regular trading.

This is automated NewsSignals analysis of third-party reporting, not independent original reporting or investment advice. AI scores are not price predictions.

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Key Market Events to Watch (All Times Beijing Time)

A packed macro and earnings calendar centers on U.S. Q3 GDP, September personal consumption expenditures (PCE) and weekly initial jobless claims, all scheduled for 20:30 Beijing time. The European Central Bank is set to announce its policy rates at 21:15 Beijing time, followed by ECB President Christine Lagarde's press conference at 21:45. The final October euro-area consumer confidence reading is scheduled for 18:00. Other scheduled events include Samsung Electronics' third-quarter earnings call at 09:00, TotalEnergies earnings before the European equity open, and earnings from Eli Lilly and Caterpillar before the U.S. equity market opens. Amazon, SanDisk, Intel, Strategy and Vale are scheduled to report after the U.S. market close. Ukraine's central bank is due to announce its rate decision at 20:00 Beijing time. ECB Governing Council members Kocher and Sleijpen are scheduled to speak in Vienna at 00:00 the following day, followed by Swiss National Bank Governing Board member Petra Tschudin at 01:00.

Global stocks hold gains after Fed decision, oil prices rise

Global stocks extended gains after the Federal Reserve held interest rates at 3.75%-4.00%, while oil prices climbed on renewed Middle East supply disruption concerns. The S&P 500 gained 0.28% and the Nasdaq Composite rose 0.27%, while Brent crude advanced 1% to $115.32 per barrel after an attack on a Saudi refinery. Persistent energy price pressures and elevated inflation could increase expectations for further monetary tightening, potentially creating volatility across equities, bonds and commodities.

Global stocks hold gains after Fed decision, oil prices rise

Global stocks and major US indexes advanced after the Federal Reserve held interest rates steady at 3.75%-4.00%, while oil prices climbed on renewed Middle East supply disruption concerns. The S&P 500 gained 0.28% and the Nasdaq Composite rose 0.27%, while Brent crude increased 1% to $115.32 per barrel and US crude jumped 3% to $102.78. Rising energy prices and persistent inflation could increase expectations for further monetary tightening, potentially pressuring equities while sustaining upward pressure on crude oil.

Fed Holds at 3.75%-4% as Warsh Gives No December Signal

The Federal Reserve held its federal funds target range at 3.75%-4% after a 10-2 FOMC vote. Governor Cook and Cleveland Fed President Hammack dissented, each favoring another 25-basis-point increase. Chair Warsh gave no clear guidance for the December meeting, saying policy discussions remain focused on price stability and that the Fed needs more economic information before judging the appropriate stance. The Fed reiterated that inflation remains elevated, while upgrading its description of economic activity from “solid expansion” to “strong expansion.” The decision follows a 25-basis-point rate increase in September. Warsh said that move’s effects on financial markets have been broadly in line with expectations. He noted that credit spreads have widened in some assets and capital allocation has become more cautious, while declining to characterize current financial conditions as restrictive. The Fed continues to target 2% inflation measured by the PCE price index. September CPI posted its highest year-over-year increase in five months, with energy prices a key driver and price increases broadening across goods and services. The Fed was set to receive an update on September PCE data on Thursday. Warsh also cited stronger growth: first-half GDP growth was revised to 2.4% from 1.8%, and third-quarter growth could exceed 3%. He said business investment may record double-digit growth, with AI-related capital spending a tailwind, though higher financing costs are increasingly affecting technology and other assets.