Gold slips below $4,200 as Fed rate path clouds outlook
What's new: New York Fed President John Williams still sees just one more hike this year and none in 2027, diverging from market bets.
Gold eased from a one-week high and traded below $4,200 an ounce as investors weighed oil-price swings against the US interest-rate outlook. Spot gold fell 0.7% to $4,167.14 by midafternoon in New York, while silver dropped 1.1% to $60.18. The move came as traders awaited fresh US inflation data and further clues from Federal Reserve officials. New York Fed President John Williams said he still expects one more rate increase this year but does not currently see a need for additional hikes in 2027. Higher rates typically pressure non-yielding gold, though bullion has largely held above $4,000 with support from inflows into gold-backed ETFs and purchases by the People’s Bank of China.