Gold and silver slip as the dollar firms after the Fed's hike

Precious metals fell on 16 September 2026 after the Federal Reserve raised its target range by a quarter point to 3.75%-4.00%, Nation Thailand reported. Spot gold was down 1.2% at 4,240.10 US dollars an ounce at 3:10 p.m. Eastern time, after having risen by more than 1% earlier in the session to 4,365.57.

What happened

The report said silver dropped 1.7% to 62.57 dollars an ounce, platinum fell 2.3% to 1,735.33 and palladium lost 1.5% to 1,269.95. It attributed the decline to the Fed's projections, which pointed to another increase in 2026, and to a stronger dollar against the euro.

Not every quote agreed. The same article noted that US December gold futures settled 1.3% higher at 4,387.50 dollars, and a separate Kitco report described spot gold near 4,310 dollars shortly after the announcement. The differences reflect when each price was taken and which instrument was being tracked, since spot, futures and CFD prices on the same metal are separate markets that can diverge, especially in fast-moving sessions.

Why it matters for traders

Gold pays no interest, so higher rates raise the opportunity cost of holding it, and a firmer dollar makes it more expensive for buyers using other currencies. That helps explain why central bank days can cause sharp moves in metals. The relationship is not mechanical, though. Geopolitical stress and inflation worries can push in the opposite direction, which is why gold can swing both ways within the same hour.

For CFD traders, the lesson is practical. The price you see depends on your broker's data source, so a gap between your platform and a headline can be a matter of timing or instrument rather than an error. Metals spreads can also widen during major announcements, and overnight financing on leveraged metal positions tends to rise when benchmark rates rise.

What to watch

• The next US inflation and jobs releases, which drive rate expectations.
• The dollar's direction against the euro and other majors.
• Your broker's published spread and financing terms for metals.