Gold traded above $4,050 an ounce on Wednesday, extending gains from the previous two sessions, as investors awaited the US Federal Reserve’s policy decision and evaluated the implications of Israel’s election results for the Middle East conflict. The Fed is widely expected to leave interest rates unchanged, though markets will be watching closely for any signals regarding a potential rate increase in December.
In New Zealand, the central bank held its policy rate steady, defying market expectations for another hike and underscoring a cautious approach toward further monetary tightening.
On the geopolitical front, oil prices remained volatile amid a tight Israeli election race that could shape the trajectory of the regional conflict. Gold has come under persistent pressure this year as heightened regional tensions have stoked inflation concerns and reinforced expectations of higher interest rates, diminishing the appeal of the non-yielding metal.
