Gold Breaks Below $4,000 as Oil Surge Fuels Fed Rate Fears - Yahoo Finance

AI desk brief

Gold fell below $4,000/oz on Thursday before repeated buying defended that psychological level on Friday, but rebounds have stalled near $4,025. The move was driven by a stronger US dollar, softer-than-expected jobless claims, and a tech-led equity selloff, leaving bullion under pressure despite dip-buying interest.

The bigger macro driver is the energy shock: Brent near $115/bbl and WTI above $100/bbl has reinforced expectations for higher-for-longer rates, which is weighing on non-yielding gold. Traders now look to next week’s FOMC decision, PCE inflation, and Q3 GDP for confirmation of whether the Fed keeps policy restrictive for longer.