Gold Drops to $4,310/Oz as Fed Unanimously Hikes Rates by 25bps and Most Officials Eye Another Increase in 2026

The Federal Reserve raised its benchmark rate by a quarter point to the 3.75-4% range, securing unanimous backing from all 12 FOMC voters. Fresh projections showed 16 of 18 policymakers now anticipate another hike in 2026, compared with just six earlier. Spot gold fell to $4,310.10 per ounce on the news.

Officials cited solid economic expansion and resilient spending yet stressed elevated inflation, aiming for a faster return to the 2% target. The statement offered no guidance on future moves.

Market analysts highlighted the hawkish shift in forecasts, signaling rates could stay higher for longer. Equities handled the update calmly, while the dollar firmed slightly and gold eased. Experts praised the Fed's focus on curbing inflation.