The FED will probably not change its interest rates today, but it will position itself. Analysts believe that part of this year’s gold rally – a nine percent increase since the beginning of the year – is due to speculation that the FED, under Janet Yellen, must identify a clear contrast: the US economy is sustainable and the USA is once again the economic locomotive of the world. However, the global economic outlook is increasingly bleak. This is causing the FED leadership to hesitate with the overdue and announced interest rate hike, which was originally linked to US labor market data. In any case, an interest rate hike by the FED would further exacerbate the discrepancy between European and US monetary policy, especially since the ECB has announced its massive QE measures.
Possible influence of FED statements on gold prices .
It goes without saying that the FED statement tonight is important. The timing of the first FED interest rate hike since the 2007/2008 financial crisis is becoming increasingly difficult to predict, and April 2015 has long been targeted. If the FED implicitly or explicitly confirms this date today, the markets are unlikely to react much. However, a later interest rate hike could cause stock markets to rally, but could also cause gold prices to drop as inflation protection may not be needed (at least for now).