2026.02.1801:08:50UTC+00Gold Steady After Two-Day Drop

Gold hovered near $4,880 per ounce on Wednesday after a two-day pullback, as traders reassessed the outlook for US monetary policy. Federal Reserve Governor Michael Barr said interest rates should be kept on hold “for some time” until inflation makes clearer progress toward the 2% target. At the same time, Chicago Fed President Austan Goolsbee indicated that further rate cuts could be possible later this year if disinflation continues.

Market participants are now focused on upcoming Fed commentary, the release of FOMC minutes, and key US economic data—including GDP and the PCE inflation gauge—due later this week for additional policy signals.

On the demand side, near-term interest in precious metals softened as China’s Lunar New Year holiday began, with trading liquidity expected to decline while many Chinese investors remain away from markets for most of the week. Geopolitical developments also reduced some safe-haven demand for gold, amid reports of progress in US–Iran discussions and ongoing negotiations between Russia and Ukraine.