Gold Posts First Weekly Gain in a Month as Oil Drag Eases Fed Pressure
India, Sept. 21 -- Gold ended a four-week losing streak last week as falling oil prices eased one of the main arguments for prolonged Federal Reserve tightening: the inflation pressure embedded in energy costs.
Brent crude dropped 4.21% for the week, its sharpest weekly decline in months. That retreat gave gold some relief from the twin pressures of a hawkish Fed and a stronger dollar.
Spot gold reached roughly $4,390 an ounce on Friday before settling near $4,375-$4,380, its highest level in a week. The move did not eliminate the broader monetary headwinds, but it showed how quickly a decline in energy prices can alter the market's inflation calculus.
The gain does not resolve the central tension. Kevin Warsh's Federal Reserve raised ...
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