Gold held steady, marking three consecutive sessions of subdued activity as markets shifted their focus to the Federal Reserve’s upcoming monetary policy decision. While a 25-basis-point rate cut is widely expected, attention has turned to the outlook for next year’s interest rate trajectory. Chairman Powell’s remarks, along with updated economic projections and the Fed’s dot plot, are anticipated to offer crucial insights, potentially triggering near-term market volatility.

At the same time, speculation that the Fed might slow its pace of monetary easing heightened, with a January rate cut appearing increasingly unlikely. Later this week, the release of key U.S. GDP and inflation figures will be closely monitored, given their importance and potential impact on future policy decisions.

On a global scale, monetary policy decisions in the UK and Japan could affect the market. Additionally, gold could gain further upside momentum as strong central bank demand continues to support its performance.