On Wednesday, March 22, gold futures closed higher before investors knew the outcome of the Federal Reserve’s (Fed) monetary policy meeting. The New York gold market closed trading before the Federal Reserve’s decision to announce its meeting.
- Gold futures rose by $8.50, or 0.44%, to close at $1,949.60 per ounce.
- Silver futures also increased by 36.10 cents, or 1.61%, to close at $22.786 per ounce
- Platinum futures rose by $10.30, or 1.05%, to close at $987 per ounce.
- Palladium futures rose by $62.60, or 4.5%, to settle at $1,445.70 an ounce.
Shortly after the gold market closed, the Fed Board announced that it had voted to raise the short-term interest rate by 0.25% to a range of 4.75-5.00%, in line with market expectations. The Fed signaled that the cycle of interest rate hikes is almost over.
Moreover, the Fed released its policy interest rate forecast (Dot Plot), which stated that Fed officials expect the Fed to raise interest rates as high as 5.1% this year, suggesting that the Fed will only raise one more rate after its meeting. The Fed is also expected to cut interest rates by 0.8% in 2024 and 1.2% in 2025.
The next Fed meeting is scheduled for May 2-3. Despite the rate hike, gold futures closed higher, indicating the market’s bullish sentiment towards the precious metal. Investors will be keeping a close eye on future Fed meetings to gauge their impact on gold and other precious metals.
The Spot Market is Open
Thursday, March 23, 2023
| Metals Updated at | USD Bid/Ask | Ounce Change | Low/High |
| Gold 11.10 | 1,975.60 1,976.60 | +6.50 +0.28% | 1,964.40 1,978.50 |
| Silver 11.10 | 22.95 23.05 | -0.01 -0.04% | 22.78 23.17 |
| Platinum 11.10 | 989.00 999.00 | +6.00 +0.61% | 980.00 1,000.00 |
| Palladium 10.50 | 1,374.00 1,524.00 | -7.00 -0.51% | 1,368.00 1,531.00 |
| Rhodium 06.00 | 7,300.00 9,300.00 | 0.00 0.00% | 7,300.00 9,300.00 |