• Gold reached all-time high at $2,591 post Fed decision.
• Fed delivers a 50 bps as it grows confident that inflation will get to 2% goal.
• Fed dot-plot estimates the fed funds rate to end 2024 at around 4.4%

Gold price trades volatile within the $2,565-$2,587 range during the North American session after the Federal Reserve cut rates by 50 bps while expecting the fed funds rates to end in 2024 at around 4.4%, according to the median. At the time of writing, XAU/USD trades post gains of over 0.50%.

Summary of Fed’s monetary policy statement

In their monetary policy statement, Fed officials acknowledge that economic activity continues to expand solidly, though the unemployment rate has “moved up.” They added that although inflation “remains somewhat elevated,” the Committee “has gained greater confidence that inflation is moving sustainably toward 2 percent, and judges that the risks to achieving its employment and inflation goals are roughly in balance.” The FOMC noted that the economic outlook is uncertain.