Gold rises as traders reassess positions after Fed rate hike, oil rally eases - CNBC

AI desk brief

Gold rose 1.2% to $4,312.05/oz after the Fed’s latest hike, as traders unwound crowded hawkish positioning and the dollar eased from a seven-week high. December COMEX gold slipped 0.8% to $4,351, but the broader tone was supported by lower oil prices and fresh geopolitical risk, which helped offset the drag from higher rates.

The Fed signalled more hikes ahead, keeping real-rate pressure on bullion, but market participants framed the move as largely priced in. Analysts said inflation remains heavily energy- and supply-shock driven, which could leave gold supported as a hedge even if policy stays tight.