Gold Holds Above $4000 as Fed Rate Outlook Shifts Markets

In early US trading, gold firmed near $4012.80 an ounce with a 0.36% gain, while silver climbed 1.44% to $58.13. This occurred after a four-session drop, as bargain hunters stepped in despite the dollar near a one-year high and yields holding around 4.4%.

May PCE rose 0.4% month-on-month and 4.1% year-on-year, matching forecasts. The Fed kept rates at 3.50-3.75% but updated projections point to at least one possible hike this year rather than cuts.

Brent crude eased to $72.24 a barrel amid reduced tensions in the Strait of Hormuz. Gold faces resistance at $4023-$4090 and support at $3900, while silver resistance sits at $59.62-$62.00 with support at $57.20.