Gold prices regained momentum as the impact of Powell's reluctance to cut interest rates was relatively short-lived.

Gold climbed, reversing the downturn caused by the Federal Reserve's decision to keep interest rates unchanged on Wednesday and Chair Jerome Powell's statement that there was no rush to cut interest rates. The gold price, which had fallen by 2% the previous trading day, returned to $3,400. Powell warned that President Trump's tariff agenda has increased the risks of rising inflation and slowing economic growth, but he added that the Federal Reserve can afford to wait and maintain its policies unchanged until they have a clearer view of the economic outlook. After Powell's speech, the US dollar strengthened, making gold more expensive for most buyers. As of the time of writing, spot gold had risen by 1% to $3,399 per ounce.