In trading on October 27th, local time, world gold prices rose by approximately 1%, supported by a drop in crude oil prices. Simultaneously, investors are awaiting the Federal Reserve’s (Fed) policy meeting for clues about the future interest rate trajectory.
On the market, at 0:44 AM on October 28th (Vietnam time), the spot gold price rose 1% to $4,055.14 per ounce, recovering from a low of $3,987.14 per ounce recorded earlier in the session. The price of US gold futures for December 2026 also increased 0.9%, closing at $4,074.60 per ounce.
Peter Grant, vice president and senior metals strategist at Zaner Metals, said that falling oil prices are helping to ease inflation concerns, which could in turn soften the Fed’s hawkish stance.
This expert assesses that the market is currently trading primarily based on information regarding the progress of peace negotiations in the Middle East.
Oil futures prices fell more than 1% on October 27, but remained near multi-month highs due to geopolitical risks in the Middle East.
According to expert Jim Wyckoff from the American Gold Exchange, if crude oil prices continue to rise, inflation will become a major problem, forcing central banks to tighten monetary policy, thereby negatively impacting gold prices.
Fed officials have signaled they will not raise short-term borrowing costs this week. However, with inflation remaining a top concern, investors believe the pause on interest rate hikes will not last. A high-interest-rate environment typically increases the opportunity cost of holding non-yielding assets like gold.
According to CME’s FedWatch tool, traders currently predict an 83% probability that the Fed will raise interest rates in December 2026. The market is also awaiting the release of US Personal Consumption Expenditures (PCE) data on October 29th. This is the most important inflation measure the Fed is focusing on as it aims for its 2% target.
According to a survey, analysts have lowered their 2026 gold price forecasts for the second consecutive quarter. The main reasons are high US Treasury yields, a strong US dollar, and expectations that interest rates will remain high for a longer period. Nevertheless, the market still expects gold prices to recover in 2027.
In other precious metals markets, spot silver prices rose 0.5% to $54.20 per ounce after hitting a near one-year low. Platinum prices increased 0.3% to $1,530.75 per ounce, recovering from their lowest level since late November 2025. Conversely, palladium prices fell 2.1% to $1,027.67 per ounce, after dropping to their lowest level since June 2025 earlier in the session.
In the Vietnamese market, early morning on October 28th, the price of SJC gold in Hanoi was listed by Saigon Jewelry Company at 139-142.02 million VND/ounce (buying price – selling price).