Gold Pares Some Gains After Strong GDP

2025-12-23 14:12 By Felipe Alarcon 1 min. read

Gold prices pared some gains to hover around a record high of $4,470 per ounce on Tuesday but remained elevated as investors balanced stronger US growth data against expectations of easier monetary policy and persistent geopolitical risks.

US GDP expanded at a solid 4.3% annualized pace in Q3 2025, above forecasts, briefly tempering expectations for aggressive Fed easing but failing to derail bullion’s broader appeal.

Markets continue to price in two quarter-point rate cuts next year as inflation cools and labor market conditions soften.

Safe-haven demand remained firm after the US intensified pressure on Venezuela over the weekend, seizing a second oil tanker and pursuing a third, lifting geopolitical risk premiums across commodities.

Against this backdrop, gold is up about 70% this year, on track for its strongest annual gain since 1979, supported by sustained central bank buying and steady ETF inflows.



News Stream
Gold Slides Below $4,000
Gold prices fell below $4,000 an ounce on Friday, hitting their lowest level since mid-July and putting the precious metal down almost 4% for the week, as rising oil prices strengthened expectations that US interest rates will remain higher for longer. Brent crude surged to a four-year high after Houthi attacks in Saudi Arabia heightened concerns over further energy supply disruptions. Meanwhile, recent US data showed consumer and producer inflation rising more than expected, largely driven by higher energy costs, reinforcing concerns over persistent inflationary pressures. Despite this, Federal Reserve officials are widely expected to leave interest rates unchanged at their October 27–28 meeting. Markets currently price in just a 10% chance of a rate hike next week, compared with odds of around 80% for December, according to CME’s FedWatch Tool. Investors now await US PCE inflation data due October 29 for further clues on progress towards the Fed’s 2% inflation target.
2026-10-23
Gold traded below 4000 USD/t.oz
Gold decreased below 4000, according to trading on a contract for difference (CFD).
2026-10-23
Gold Stabilizes Near Three-Month Low
Gold prices stabilized around $4,030 an ounce on Friday, hovering near three-month lows and leaving the precious metal down around 3% for the week, as rising oil prices have fueled expectations that US interest rates will remain higher for longer. Brent crude climbed to a more than five-month high after Houthi attacks in Saudi Arabia heightened concerns over further disruptions to energy supplies. Meanwhile, US consumer and producer inflation data released last week came in hotter than expected, largely reflecting rising energy costs and reinforcing the case for tighter monetary policy. However, Fed officials are still widely expected to leave rates unchanged at their October 27–28 meeting. Markets currently assign just a 9% probability to a rate hike next week, compared with more than 80% for December, according to CME’s FedWatch Tool. Investors also await US PCE inflation data on October 29 for further clues on progress towards the Fed’s 2% target.
2026-10-23