Fed Hike Won't Derail Gold's Long-Term Bull Market – Analysts

The gold market ended the week lower as investors prepare for a possible Federal Reserve rate hike. Yet analysts point out that support above $4,300 per ounce shows the hike threat is losing impact, with spot prices at $4,354.90, down 1.7% weekly. August CPI data revealed core inflation at 2.4% year-over-year and headline at 3.4%, both above the Fed’s 2% target, with markets pricing nearly 90% odds of a hike next week. Experts however stress U.S. debt above $40 trillion and elevated bond yields as limits on aggressive policy. Analysts including Jeff Sarti and Naeem Aslam argue fiscal pressures will keep supporting gold long-term, viewing any near-term dips as buying opportunities. Next week’s focus includes decisions from the Fed, Bank of England and Bank of Japan, plus potential yen strength against the dollar.