Gold rebounds toward $4,100 after Fed holds rates steady

Bullion recovered from post-Fed weakness near $4,000 as the dollar weakened after a 9-3 hold, while three dissents, September hike odds and Middle East tensions kept inflation and safe-haven demand in focus.

28d ago

Fact Check

Multiple sources corroborate the claim. The WSJ 'Fed Holds Rates Steady but Three Officials Vote for Increase' confirms the Fed held rates steady on July 29, 2026. The WSJ 'Gold Rises After Fed Holds Rates Steady' confirms gold trading in Asia following the decision and explicitly notes ING expectations for a September pause, matching the claim's support element. CNBC confirms gold traded ahead of the Fed decision alongside pending BOJ and BOE decisions the same week. The only minor tension is the precise gold direction (the claim says 'edged lower' while one WSJ session showed a slight rise/dip), but the overall description of gold under near-term pressure ahead of multiple central-bank decisions is well supported.

Summary

Gold rose toward $4,100 an ounce on July 29 after the Federal Reserve left rates unchanged in a 9-3 vote, reversing earlier weakness as the dollar softened and investors weighed hawkish dissents, still-elevated September hike expectations and geopolitical risks tied to the Middle East. Spot gold climbed as much as 0.8% to $4,100 and was up 0.6% at $4,091.40 an ounce at 7:50 a.m. in Singapore, supported by bargain buying near $4,000 and haven demand. The Fed kept its benchmark rate at 3.50%-3.75%, while Chair Kevin Warsh said inflation remained above the 2% objective and stressed a data-dependent approach, underscoring that the pause should not be seen as policy inertia.

Terms & Concepts

Federal Open Market Committee: The Federal Reserve panel that sets U.S. interest-rate policy.
Dollar Index: A measure of the U.S. dollar’s value against major currencies.
CME FedWatch Tool: A tracker of market-implied probabilities for future Federal Reserve rate moves.