Gold Price Holds Near $4,380 After Fed Rate Hike
Gold held near $4,380 after the Fed's first rate hike since 2023 as Treasury yields fell back, lifting equities and keeping silver above $66 while crude steadied near $101.
Market Snapshot
All figures are indicative opening levels as of this morning, September 18.
Wall Street is holding its post-Fed gains, with S&P futures barely changed and the Nasdaq up around 0.51 percent as tech leads again.
The surprise is the calm, with the VIX slipping to around 15 and the dollar easing even after the Fed's first rate hike in three years.
Falling Treasury yields are doing the heavy lifting, keeping both stocks and gold bid.
Nvidia rose around 0.60 percent as semiconductors led the rebound, Coinbase jumped around 4.20 percent as bitcoin broke out toward $78,000, and Newmont added around 1.50 percent on gold's push back toward $4,400.
Main Story
Gold held near $4,380 and stocks rose after the Fed's September 16 rate hike, its first since 2023, because Treasury yields fell back rather than climbing, easing the pressure a hike normally puts on both.
The Federal Reserve raised rates 25 basis points on September 16 to 3.75 to 4 percent, its first hike since 2023, with projections pointing to at least one more move before year-end, per CNBC.
The mainstream read was that higher-for-longer would pressure both stocks and gold, yet Treasury yields fell back after the decision rather than holding their spike.
The bigger driver is softer yields, not the funds rate, so the next inflation print matters more than the dot plot for gold and equities alike.
Chart of the Day
Gold ran to the mid $4,400s before the Fed decision, then dipped toward $4,352 as rates rose.
It has since clawed back above its 100-day average near $4,366 and now trades around $4,380 as yields retreat.
The $4,400 line is the level bulls need to reclaim to reopen the path higher.
Technical Trading
A few levels on gold, drawn from FXStreet and Investing.com:
$4,400 is the immediate resistance, aligning with a round number and prior support.
The 21-day average near $4,430 caps the tape, with the 100-day around $4,366 the first real support.
RSI has cooled back toward 50 after leaving overbought, momentum easing without turning bearish.
Global News
The Fed raised rates 25 basis points to 3.75 to 4 percent, its first hike since 2023, signaling at least one more move possible this year.
Treasury yields fell back after the decision, easing the pressure a rate hike would normally put on stocks and gold.
Bitcoin broke out toward $78,000, lifting crypto-linked shares like Coinbase as risk appetite held.
WTI crude eased toward $101 as Saudi pipeline repairs continued to unwind last week's supply scare.
Silver pushed back above $66 for the first time in a week, tracking gold's recovery.
Texas News
Dallas based Texas Capital said it will bring its corporate listing home to the new Texas Stock Exchange, days after pipeline giant Energy Transfer set an October 5 move from the NYSE under its existing ET ticker.
The migrations add momentum to Texas's push to build a rival financial hub as the exchange ramps up.
Looking Ahead
Friday, September 18: A light economic calendar lets traders digest the Fed's higher-for-longer message and the drop in yields into the weekend.
Monday, September 21: Markets get their first full session to test whether falling yields keep both stocks and gold bid.
Wednesday, September 23: A round of Fed speakers offers the first post-decision color on how many more hikes officials really expect.
The Y’all Street Podcast
Tarek sits down with investor and board advisor Michael Gentile for a look at where he sees the market's biggest opportunities hiding. He breaks down why gold could be entering a new era, what rising debt and de-dollarization could mean for the U.S. dollar, and why junior mining companies may be dramatically undervalued even at record gold prices.
Michael also shares how he hunts for 20 to 50x returns, what he learned from Warren Buffett, and why emotional intelligence matters more than intelligence when markets turn against you.
Prices from Yahoo Finance, CNBC and Kitco. Technical levels from Investing.com and FXStreet. News from CNBC, Reuters and FXStreet.
For informational purposes only. Not investment advice. Prices are indicative opening levels and may differ from your broker.