Fed's First Hike Since 2023: Gold Holds, Yields Peak

The Federal Reserve raised its target range by 25 basis points to 3.75 percent to 4.00 percent on September 16, its first hike since 2023 . The vote was unanimous at 12 to 0 under Chair Kevin Warsh, and the Summary of Economic Projections points to at least one more increase before year end. The move landed against August core CPI that rose 0.3 percent month over month, above the 0.2 percent consensus, pushing the headline rate toward 3.4 percent year over year.

Key Takeaways The Fed hiked 25 basis points to 3.75 percent to 4.00 percent on September 16, its first since 2023, on a unanimous 12 to 0 vote. August core CPI rose 0.3 percent month over month versus a 0.2 percent consensus, and offi…