“It was a big move down, and it shook a lot of people out,” Phoenix Futures and Options LLC president Kevin Grady told Kitco News.
The precious metals market seems to be overreacting to these types of headlines, with investors really paying close attention to the Fed’s wording.
“What you’re seeing in the USD and precious metals is a clear assessment of the Fed’s Average Inflation Targeting regime.
“Gold has shifted from playing offense to defense post FOMC, and while it’s still in a bull market that’s undergone a strong correction, it is fighting a lot of battles .
Instead, gold was muted and had a hard time rallying,” he said.
Weyer also pointed to $1,750 as a technical support level.
“Let’s see whether the Fed is prepared to adopt any new language on tapering.