Gold Price Faces 4,000 USD as Fed Rate Hike Expected, Houthi Attacks Keep Oil Market Cautious - KuCoin

AI desk brief

Spot gold traded around $4,013/oz in Asian trade and looks set to test $4,000 again as persistent U.S. inflation keeps a December Fed hike priced in at about 80%, pressuring non-yielding metals. Gold fell 1.18% to $4,021.13 on Thursday and is on track for a second straight monthly decline; silver dropped 3.4% to $52.14, platinum 3.7% to $1,481.75, and palladium 0.9% to $1,001.92.

The macro backdrop remains hawkish: September PCE rose 0.5% m/m, Q3 GDP was revised/estimated at 3.4%, and the Fed held rates steady while saying price pressures remain elevated. Geopolitical tensions and Houthi attacks are supporting crude near $102.75-$102.86/bbl, which may keep inflation concerns alive, but the immediate price impulse for precious metals is dominated by higher-rate expectations and a firmer real-yield backdrop.