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Gold Pulls Back From Record After Fed Cuts Rates to 4.0–4.25%

The move sharpened attention on policy signals that will shape whether prices hold near recent records.

Overview

  • Spot gold briefly hit $3,707.57 per ounce before slipping to about $3,637 in London on Thursday morning, roughly $22 below the prior day.
  • The Federal Reserve lowered its policy rate to a 4.0–4.25% target range, with a single dissent from Stephen Miran who favored a larger 0.50‑point cut.
  • Despite the pullback, gold remains up roughly 40% in 2025, reflecting strong safe‑haven interest.
  • Analysts cite a softer dollar, expectations of further US easing, geopolitical tensions, and large sovereign purchases by countries such as India and China as key drivers.
  • Silver eased after setting a recent record, closing at €36.30 on September 15 before retreating to €35.25 by September 17, while retail interest in gold has risen among young German investors, according to BullionVault.