Gold Slightly Up on Softer Inflation Data

2026-09-30 13:16 By Joana Ferreira 1 min. read

Gold rose to around $4,200 an ounce Wednesday, as softer-than-expected US inflation data eased expectations of another Federal Reserve rate hike as soon as next month.

The PCE price index rose 0.3% in August, below expectations of 0.4%, while core PCE increased 0.2%, also below forecasts of 0.3%.

Annually, headline PCE inflation stood at 3.4%, below expectations of 3.7%.

Markets are now pricing in a below 40% chance of a 25 bps rate hike in October, down sharply from 70% last Friday.

New York Fed President John Williams also said the Fed does not need to rush into another rate increase following this month’s hike, further supporting gold.

However, precious metals remained under pressure from elevated Treasury yields, with both 10-year and 30-year US Treasury yields at multi-year highs.

Gold fell nearly 6% in September, pressured by persistent energy-driven inflation and hawkish comments from Fed officials that strengthened expectations for further policy tightening later this year.



News Stream
Gold Slightly Up on Softer Inflation Data
Gold rose to around $4,200 an ounce Wednesday, as softer-than-expected US inflation data eased expectations of another Federal Reserve rate hike as soon as next month. The PCE price index rose 0.3% in August, below expectations of 0.4%, while core PCE increased 0.2%, also below forecasts of 0.3%. Annually, headline PCE inflation stood at 3.4%, below expectations of 3.7%. Markets are now pricing in a below 40% chance of a 25 bps rate hike in October, down sharply from 70% last Friday. New York Fed President John Williams also said the Fed does not need to rush into another rate increase following this month’s hike, further supporting gold. However, precious metals remained under pressure from elevated Treasury yields, with both 10-year and 30-year US Treasury yields at multi-year highs. Gold fell nearly 6% in September, pressured by persistent energy-driven inflation and hawkish comments from Fed officials that strengthened expectations for further policy tightening later this year.
2026-09-30
Gold Finds Support as Oil Prices Decline
Gold rose to around $4,200 an ounce on Wednesday, extending gains from the previous session, with falling oil prices offering some support despite continued pressure from elevated Treasury yields. Oil prices dropped sharply amid signs of improving energy flows from the Middle East and following another major release of emergency reserves in the US. Meanwhile, precious metals remain under pressure from rising Treasury yields, with the 30-year US bond yield climbing as high as 5.62%, reaching levels not seen since June 2002. Concerns over persistent energy-driven inflation, along with hawkish remarks from Federal Reserve officials, helped push yields higher. New York Fed President John Williams said Tuesday that another rate increase “late this year” could be appropriate, while noting that the Middle East conflict and the expansion of artificial intelligence remain key drivers of elevated inflation. Gold is on track to decline nearly 6% in September.
2026-09-30
Gold Rebounds as Markets Assess Fed Rate Outlook
Gold prices climbed back above $4,150 an ounce on Tuesday after falling to a more than seven-week low in the previous session, as investors awaited fresh US economic data for clues on the Federal Reserve’s interest-rate outlook. Bullion plunged nearly 4% on Monday as a surge in crude oil prices, driven by lingering concerns over potential disruptions to Middle East supplies, strengthened expectations that the Fed could raise interest rates. Higher oil prices can intensify inflationary pressures, potentially prompting central banks to keep borrowing costs elevated for longer and weighing on non-yielding assets such as gold. Markets are currently pricing in a nearly 70% chance of a Fed rate hike as early as October and a 95% probability of an increase in December, according to the CME FedWatch Tool. Focus now turns to Wednesday’s ADP jobs report, PCE inflation data and comments from Fed officials for further signals on monetary policy.
2026-09-29