Gold rises to $4,307 amid Fed rate hike aftermath

September 17, 2026 (MLN): Gold edged higher on Thursday as markets weighed the U.S. Federal Reserve's latest rate hike and signals that more tightening could be on the way, even as an earlier surge in oil prices began to fade.

Currently, spot gold is up 0.25% to $4,307.36  an ounce as of [11:21 am] PST, according to data reported by Mettis Global.

Crude oil retreated further after reports that Saudi Arabia was making additional crude cargoes available through Oman.

Gold is typically viewed as a hedge against inflation, but higher interest rates dampen its appeal by making interest-bearing assets more attractive to investors.

The Fed lifted interest rates on Wednesday and pointed to further hikes ahead, with incoming central bank chief Kevin Warsh backing the unanimous decision  a move that underscores the Trump administration's struggle to rein in inflation policymakers fear could deepen further.

Updated quarterly projections showed that 16 of the Fed's 18 policymakers expect at least one more quarter-point hike before year-end, with just two anticipating rates holding steady from current levels.

The Bank of England is widely expected to leave rates unchanged on Thursday, though markets will be watching closely for any signal that rising energy costs might push it toward following the Fed's lead, according to CNBC.

On the geopolitical side, U.S. President Donald Trump said he was hopeful that the war against Iran could soon come to an end, even as the seven-month-old conflict intensified, with Saudi warplanes striking Yemen and Houthi forces firing drones and missiles at Saudi cities.

Among other precious metals, spot silver climbed 1.2% to $63.73, platinum advanced 1.7% to $1,783.56, and palladium rose 2.2% to $1,296.70.

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