Spot gold fell on Thursday as the dollar strengthened after the Federal Reserve
signalled a hawkish tilt; the dollar index rose. The Fed left rates unchanged on
Wednesday but policymakers pencilled in further hikes later this year as inf
remains above target. Fed chair KEVIN WARSH said he will convene working groups
to review central bank operations. Market strategist Han Tan said a hawkish Fed
makes spot gold likelier to slip below $4,000/oz than to regain $5,000/oz in H2
2026 and warned that a revamp of Fed communications could amplify gold’s
reactions to US data. ANZ noted weak investment demand — ETF outflows and lower
holdings — though Chinese physical buying and central bank purchases are
providing support.