Gold is trading lower on Monday, as a pullback in oil prices and the associated easing of inflationary pressures has done little to dampen investor expectations of further interest rate increases by the US Federal Reserve.
The yellow metal shed 0.72% to $4,352.57 per ounce in morning trade, surrendering gains made during a week in which it had managed to close with modest advances. The decline came despite the US central bank having moved to tighten monetary policy for the first time in 38 months at its most recent meeting, signalling at least one additional rate increase this year, as inflation in the country remains elevated and well above the Fed’s 2% target.
Investors are now awaiting a series of scheduled public appearances by several Federal Reserve officials this week. After casting an anonymous vote at the last meeting, the president of the Federal Reserve Bank of Minneapolis was the first to break his silence on Sunday, stating that inflation remains far too high and that price pressures are already spreading beyond the energy sector.
“We have largely moved past the narrative around Fed independence following the rate increase decided by Warsh. Meanwhile, forward guidance on rates has broadly matched expectations,” leaving gold without “any concrete narrative and with relatively few new near-term catalysts,” Justin Lin, analyst at Global X ETFs, told Bloomberg.
“In this lull phase, gold will likely trade more closely in line with oil price movements and the broader inflation outlook,” the analyst added, as quoted by the financial newswire.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/09/21/mercados/commodities/ouro-volta-a-tropecar-apos-semana-de-ganhos-modestos/
