Yellow metal prices stabilized mid-day trading on Wednesday, June 18, amidst a stable US dollar and anticipation of the US Federal Reserve meeting this evening. Markets continue to monitor developments and tensions in the Middle East and the Israeli-Iranian conflict. Gold is trading down approximately 0.19% at $3,381 per ounce, while silver is trading at $37.12 per ounce, down 0.35%.
Markets are awaiting the results of the US Federal Reserve meeting, which began yesterday, Tuesday, and will be released a few hours later. The bank is expected to keep interest rates unchanged at 4.5% for the fourth consecutive meeting this year, following a quarter-basis-point cut in December.
Markets are monitoring the views of US Federal Reserve members on recent developments and their impact on their outlook for the future of US interest rates. Whether expectations of two rate cuts this year remain valid or whether we will see some changes, as today’s meeting includes members’ forecasts for the future of interest rates, known as the dot plot, and their expectations for growth and inflation, a report issued quarterly. An annual World Gold Council survey revealed that central banks around the world are accelerating their gold purchases over the next five years as the US dollar declines. 95% of central banks participating in the survey expect their gold holdings to increase in the next 12 months as geopolitical tensions and economic volatility rise.
Platinum is trading at $1,281, up about 1.46%, while palladium is up about 0.05%, trading at $1,052.