Fed Decision May Spark Gold and Silver Price Rebound

Gold and silver prices took a hit last week, but experts believe this week's Federal Reserve decision could be a game-changer. The gold price fell to $4,397.50 on Thursday, down about 1.5%, while silver dropped to $64.86, losing nearly 6%. The decline was partly due to rising U.S.-Iran tensions and concerns about another wave of inflation.

The latest chart data shows the gold price near $4,348.90 and silver around $64.50. Analysts believe that a dovish Fed decision could weaken the dollar and lower rate expectations, which could boost precious metals prices. On the other hand, a rate hike would likely put pressure on gold and silver through higher yields and a stronger dollar.

For gold to reclaim its bullish path, it needs to hold above $4,300 and break above $4,400. A clear break above $4,500 could open the door toward $4,650 and then the previous $4,700 area. Silver has a tougher road ahead but can reach $70 if it breaks above the $67 resistance level.