Gold price jumps as Federal Reserve leaves interest rates unchanged

(Kitco News) - The gold market is seeing a modest relief rally as the Federal Reserve left interest rates unchanged; however, the central bank continues to maintain a solid tightening bias. As expected, the Federal Reserve left the Fed Funds Rate in its current range between 3.50% and 3.75%. However, the statement showed that three committee members voted for a 25 basis point hike at this meeting. The gold market saw a $40 jump in its initial reaction to the central bank’s latest monetary policy decision. Although prices have come down from its session highs, they remain elevated. Spot gold last traded at $4,073.60 an ounce, up more than 1% on the day. Neils Christensen Neils Christensen has a diploma in journalism from Lethbridge College and has more than a decade of reporting experience working for news organizations throughout Canada. His experiences include covering territorial and federal politics in Nunavut, Canada. He has worked exclusively within the financial sector since 2007, when he started with the Canadian Economic Press. Neils can be contacted at: 1 866 925 4826 ext. 1526 nchristensen at kitco.com @KitcoNewsNOW Tags: gold gold prices Federal Reserve US interest rates US inflation US econmy US monetary policy Share Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.