Gold Prices Rebound After Fed Rate Hike

The recent Federal Reserve interest rate hike has sent shockwaves through global markets, particularly in the gold market.

After a three-year hiatus, the Fed raised interest rates by 25 basis points to 3.75%-4.00% on September 16th.

This move triggered an immediate reaction across the global market, with investors recalibrating their expectations around future monetary policies.

Gold prices initially plummeted, slipping into multi-day lows due to a stronger US dollar and rising bond yields, which reduced its short-term attractiveness.

However, gold quickly rebounded, recovering above $4,310 per ounce within a day, indicating that the metal's safe-haven status remains intact.