Gold prices moved in a lower range in Asian trade on Thursday.
The strength of the dollar weighed on gold prices as US interest rates did not fall as expected in the medium to long term. The yellow metal took some gains after touching a peak ahead of Wednesday’s Fed decision.
Spot gold rose 0.1% to $2,561.30 an ounce, while gold futures for December fell 0.5% to $2,585.65 an ounce.
The Fed cuts rates by 50 bps, but offers a less bleak outlook. The central bank has no intention of returning to a very low rate environment as seen during Covid-19. And the central bank’s neutral rate is expected to be higher than previously seen.
