FX.co ★ Gold Briefly Breaks Record After Fed Decision

Gold prices fell to approximately $3,680 per ounce on Wednesday, following a brief ascent to a record high of $3,704. This shift occurred in response to the Federal Reserve's much-anticipated decision to cut interest rates. The Fed reduced its benchmark interest rate by a quarter percentage point, setting it within the range of 4% to 4.25%. The decision was made with an 11–1 vote; Governor Stephen Miran voted against it, advocating for a more significant half-point reduction, while other potential dissenters ultimately sided with the majority. The Federal Reserve highlighted slowing job growth and persistent inflation as ongoing risks affecting its dual mandate. Significant factors contributing to gold's approximately 41% surge this year include substantial central bank acquisitions, increased safe-haven investments, and a shift away from the weakening US dollar.