Gold consolidates above US$4,600 as investors weigh Fed rate path
Published Thu, Aug 27, 2026 · 09:32 AM
[SINGAPORE] Gold consolidated above US$4,600 an ounce as investors weighed the US Federal Reserve’s approach to stubborn inflation ahead of the annual Jackson Hole gathering this week.
Bullion rose as much as 0.7 per cent, recovering some of the losses in the previous session.
The precious metal snapped a five-day winning streak on Wednesday (Aug 26) after a report showed US inflation remained well above the Fed’s target, raising the likelihood that the central bank will raise rates.
The US dollar jumped the most in two weeks and bond yields climbed after the print.
Still, gold is up around 14 per cent in August, given fresh impetus by the US Treasury’s unexpected intervention in the bond market last week.
Efforts to control the cost of the US debt pile have revived interest in the so-called debasement trade that helped power bullion’s record-breaking rally in 2025, when investors bought the metal as a hedge to protect themselves from runaway budget deficits and a weaker US dollar.
Gold’s marked rebound in recent weeks has also taken the metal above the 200-day moving average that is often viewed as an important measure of momentum.
In a sign of wider investor participation, bullion-backed exchange-traded funds tracked by Bloomberg added more than 28 tonnes last week, the most since January.
Investors will be seeking clues to the Fed’s approach to inflation when Kevin Warsh makes his first major speech as chairman of the central bank on Friday.
The much-anticipated address at the Jackson Hole symposium offers Warsh an opportunity to counter criticism that he has not been forthright with his views on the economy.
Gold gained 0.6 per cent to US$4,619.54 an ounce at 7.38 am in Singapore. Silver advanced 1.3 per cent to US$68.99 an ounce.
Platinum and palladium also rose. The Bloomberg Dollar Spot Index, a gauge of the greenback, slipped 0.1 per cent after ending the previous session 0.2 per cent higher. BLOOMBERG
