Tuesday, October 20, 2026

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Gold prices rise as weaker dollar lifts bullion ahead of Fed meeting

Gold prices edged higher on Tuesday, supported by a weaker US dollar, as investors await next week’s Federal Reserve monetary policy meeting for signals on the future direction of interest rates.

ONA

info@thearabianstories.com

Tuesday, October 20, 2026

SINGAPORE: Spot gold rose 0.1 percent to $4,145.22 an ounce, while US gold futures for December delivery gained 0.1 percent to $4,164.70.

Recent remarks by Federal Reserve officials suggesting there was no immediate need for further monetary tightening have eased expectations of an interest rate hike at the central bank’s October 27–28 meeting.

According to the CME FedWatch tool, traders see an 82 percent probability that the Fed will leave interest rates unchanged next week, while expectations of a rate hike in December remain at 89 percent.

The dollar index declined, making gold, which is priced in US dollars, more affordable for buyers holding other currencies and supporting demand for the precious metal.

Meanwhile, oil prices also rose, with Brent crude trading near a five-month high as markets factored in a geopolitical risk premium linked to tensions in the Middle East.

Among other precious metals, spot silver gained 0.7 percent to $57.48 an ounce, while platinum rose 0.7 percent to $1,651.25. Palladium, however, fell 0.2 percent to $1,117.87 an ounce.

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