Gold futures experienced a marginal uptick on Tuesday, September 19th, as investors eagerly anticipated the outcomes of the Federal Reserve’s monetary policy meeting, scheduled for release on Wednesday, September 20th, in the United States.
The gold futures market saw a modest increase of 30 cents, equivalent to 0.02%, with prices settling at $1,953.70 per ounce. Conversely, silver witnessed a decline of 4.20 cents, or 0.18%, settling at $23.456 an ounce. In the case of platinum futures, they surged by $10.10, marking an impressive 1.08% increase, closing at $948.40 per ounce. Palladium futures also experienced a noteworthy surge of $22.50, translating to a 1.8% increase, with a closing price of $1,266.50 an ounce.
The eagerly awaited monetary policy decisions by the Federal Reserve’s Monetary Policy Committee (FOMC) are scheduled to be unveiled on Wednesday, in accordance with U.S. time.
CME Group’s latest FedWatch Tool provides a striking insight into market sentiment, revealing that investors are overwhelmingly confident (99.0%) that the Fed will maintain interest rates within the 5.25-5.50% range during this meeting. Moreover, the probability that the Fed will uphold these interest rates at its November meeting has surged to 70.9%, an increase from the previous survey’s figure of 69%.
In addition to interest rate expectations, investors are keeping a watchful eye on the release of the Fed’s policy interest rate forecast, often referred to as the “dot plot.” Furthermore, the market eagerly anticipates figures concerning expectations for inflation, unemployment, and the trajectory of the U.S. economy’s expansion.
Amidst this anticipation, Federal Reserve Chairman Jerome Powell is set to hold a press conference following the meeting, where he will provide insights into the Fed’s intended direction for interest rates and address questions from the financial community. The outcome of this meeting holds significant implications for financial markets and economic stability, making it a pivotal event for investors and analysts alike.
The Spot Market is Open
Wednesday, September 20, 2023