Gold Soars as Fed Signals End of Rate Hikes and Dollar Weakens

Gold prices surged over 1% after the U.S. Federal Reserve signaled the end of its interest rate hike cycle and hinted at possible rate cuts in the coming year. The Fed's decision led to a drop in the U.S. dollar and a rise in gold and silver prices. The central bank held interest rates steady, with the majority of officials projecting lower rates by the end of 2024. The dollar index slipped, making gold more affordable for overseas buyers. Traders are now pricing in a 60% chance of U.S. rate cuts in March 2024. Lower interest rates increase the appeal of holding gold.