Spot Gold Falls 1.28% to $4,154.70 as Hawkish Fed Lifts Dollar
Updated
Updated · Kitco NEWS · Jun 19
Spot Gold Falls 1.28% to $4,154.70 as Hawkish Fed Lifts Dollar
3 articles · Updated · Kitco NEWS · Jun 19
Summary
$4,154.70 gold and $64.690 silver both fell early in North American trade, with silver down 1.35% as precious metals extended losses after the Fed meeting.
A 12-0 Fed decision to hold rates at 3.50%-3.75%, paired with warnings that inflation remains above the 2% goal, reinforced expectations for a more restrictive policy path.
The stronger rate backdrop was amplified by a firmer U.S. dollar index at its highest since May 2025 and 10-year Treasury yields near 4.5%, outweighing support from still-elevated oil prices.
Middle East risk premium has also faded after U.S.-Iran de-escalation, though WTI near $77.56 and Brent around $80.23 show traders still reassessing how quickly Hormuz shipping normalizes.
Technical levels now center on $4,100 support for gold and $64.00 for silver, with next week’s U.S. PMI, GDP, durable goods and PCE data set to test whether the Fed’s inflation caution deepens.