European Investor
16 Sep 2026, 09:51
Gold Rises Nearly 1% as Treasury Yields and Dollar Ease Ahead of Fed Decision
Gold prices moved higher Wednesday, with December futures rising 0.98% to around $4,375 an ounce, recovering after recent pressure as investors prepared for the Federal Reserve’s interest-rate decision later in the day.
The rebound was supported by a pullback in U.S. Treasury yields and a softer dollar. The 10-year Treasury yield had climbed above 5% on Tuesday, its highest level since 2007, before easing Wednesday. Lower yields improve the relative appeal of non-yielding assets such as gold and bitcoin.
Oil prices also retreated after their recent surge, easing some concerns that higher energy costs could intensify inflation. Markets nevertheless continue to expect the Fed to raise rates by 25 basis points, making the central bank’s guidance on the path of future rates particularly important for gold.
Geopolitical uncertainty in the Middle East continues to provide some safe-haven support. For gold, the immediate focus is now on whether the Fed’s message pushes Treasury yields and the dollar higher again.
Gold prices moved higher Wednesday, with December futures rising 0.98% to around $4,375 an ounce, recovering after recent pressure as investors prepared for the Federal Reserve’s interest-rate decision later in the day.
The rebound was supported by a pullback in U.S. Treasury yields and a softer dollar. The 10-year Treasury yield had climbed above 5% on Tuesday, its highest level since 2007, before easing Wednesday. Lower yields improve the relative appeal of non-yielding assets such as gold and bitcoin.
Oil prices also retreated after their recent surge, easing some concerns that higher energy costs could intensify inflation. Markets nevertheless continue to expect the Fed to raise rates by 25 basis points, making the central bank’s guidance on the path of future rates particularly important for gold.
Geopolitical uncertainty in the Middle East continues to provide some safe-haven support. For gold, the immediate focus is now on whether the Fed’s message pushes Treasury yields and the dollar higher again.
