Gold price today, Thursday, October 8, 2026: Yearly gold gains evaporate after Fed says higher rates are expected - Yahoo Finance
Gold price today, Thursday, October 8, 2026: Yearly gold gains evaporate after Fed says higher rates are expected - Yahoo Finance
Source: Yahoo Finance
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DW NOTE
Gold has fallen 22% from its January peak as the Fed signals further rate increases despite core PCE running at 3.4% — well above the Fed's own 2.5% forecast. The question isn't why gold is falling; it's why anyone believes 3.75% Fed funds will solve 5.44% producer price inflation while the fiscal deficit runs at $2 trillion. Nominal yields are rising faster than inflation expectations, which makes gold less attractive in the short term but doesn't address the structural imbalance that sent it to $5,318 in the first place.