Gold edges up to $4,324 as Fed decision awaited

September 16, 2026 (MLN): Gold prices firmed on Wednesday as crude oil weakened, with investors turning their attention to the US Federal Reserve's upcoming policy announcement, where a rate hike is already largely factored into market expectations.

Currently, spot gold is up 0.75% to $4,323.88 an ounce as of [10:23 am] PST, according to data reported by Mettis Global.

Gold is commonly regarded as a safeguard against inflation, although rising interest rates tend to diminish its appeal by increasing the cost of holding an asset that generates no yield.

Crude oil retreated following an unexpected rise in US inventory stockpiles, even as markets weighed potential supply disruptions after Saudi Arabia halted oil loading operations at its Yanbu port.

According to CME FedWatch, traders are assigning a 92.4% probability to a rate increase of at least 25 basis points later in the day, with the announcement to be followed by a press briefing from Fed Chair Kevin Warsh.

Separately, Saudi Arabia's air defence systems shot down a Houthi drone south of Mecca before it could breach restricted airspace over the holy city, a spokesperson for the Saudi-led coalition in Yemen said, amid escalating conflict across the Middle East, according to CNBC.

Elsewhere in precious metals, spot silver climbed 1.5% to $64.60 per ounce, platinum rose 0.7% to $1,788.25, and palladium gained 1.6% to settle at $1,309.80.

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