Gold Prices Jump As Fed Plays Down Rate Hike – What’s Next?

During his speech at the Stanford Institute for Economic Policy Research, Governor Christopher Waller said the Fed should begin tapering its bond-buying program next month, though interest-rate hikes are probably “still some time off.”

The Fed’s most recent “dot plot” depicting policymakers’ rate-hike expectations show about half seeing the Fed lifting rates by the end of 2022, with the other half expecting lift-off by the end of 2023.

Rapidly surging global inflation, driven by one of the biggest commodities booms in decades has sparked concerns that rate hikes could come sooner than expected. However, Waller’s comments appear to have poured cold water on that idea for the time being.

Traders’ attention has now shifted to the Federal Reserve’s November policy meeting for clues on the precious metals next big move.

In the meantime, Gold prices are likely to continue trading sideways in a tight range – presenting savvy traders with a series of opportunities to profit from the short-term price swings.

Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions:

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