Fed Holds Rates at 3.75%–4.00% in Hawkish 10–2 Vote — Gold Steadies After Early Slip — October 28, 2026

The U.S. Federal Reserve held its benchmark interest rate steady at 3.75 to 4.00 percent on Wednesday, October 28, 2026, in a decision that matters directly to Canadian precious metals buyers through the U.S. dollar and the Canada–U.S. rate gap. The vote was 10–2, and the split was hawkish: Lisa Cook and Beth Hammack dissented in favor of an immediate 25-basis-point increase. Gold slipped in the first minutes after the 2:00 p.m. Eastern announcement, falling to about US$4,035 an ounce, then recovered as traders digested a statement that upgraded the economy to expanding at a "strong" pace, noted inflation "remains elevated," and pledged, "The Committee will deliver price stability." By late afternoon, gold was trading at US$4,073.10 / C$5,700.02 per ounce — up 0.32 percent on the day in U.S. dollar terms, and a fraction softer, down 0.07 percent, in Canadian dollar terms as the loonie held slightly firmer. Silver was US$54.38 / C$76.10 per ounce, down 0.06 percent in U.S. dollars and 0.37 percent in Canadian dollars, after trading as softly as about US$53.75 in the first reaction to the statement. Platinum was US$1,550.31 / C$2,169.37 per ounce, up 0.35 percent in U.S. dollars and 0.06 percent in Canadian dollars. U.S. Treasury yields edged slightly higher, with the 10-year around 5.05 percent, and U.S. stocks were mixed. The decision follows September's rate increase, the first since 2023, and the statement offered no explicit forward guidance. Markets are left to price December themselves, and they currently assign roughly 84 percent odds to another hike at the Fed's December meeting. The dissents are not hard to understand in the data: U.S. consumer prices rose 3.7 percent year over year through September, and producer prices rose 6.3 percent — both well above target. For Canadians, the practical transmission channel is the exchange rate: a hawkish Fed supports the U.S. dollar, which raises the Canadian-dollar cost of metal, while any firming of the loonie against the greenback gives Canadian buyers a partial offset, as it did on Wednesday. Investor take: a hold with two members voting to hike is a tightening signal in everything but name, and it sets up a data-dependent run into December. Gold defending the US$4,000 area through a hawkish Fed, a firm U.S. dollar and a 10-year yield above 5 percent continues to point to underlying physical and official-sector demand absorbing the selling. Canadian buyers should watch the loonie as closely as the metal: the same ounce can move in opposite directions in U.S. and Canadian dollar terms on a day like Wednesday, and staged purchases remain the disciplined way to build a position while December odds are repriced. Jeweler take: replacement costs stay high and two-sided. Gold above C$5,700 an ounce, silver above C$76 and platinum above C$2,169 keep Canadian finished-goods pricing elevated, and the live December hike debate means quotes can move between the day they are written and the day metal is replaced. Confirm both the spot price and the exchange rate before finalizing larger quotes, and lock metal against confirmed orders rather than speculative stock while U.S. inflation data is still landing this week. Coming up — events that will move metals this week: Thursday, October 29, 2026, 8:30 a.m. ET — U.S. third-quarter GDP (advance estimate), September PCE inflation and consumer spending, and weekly initial jobless claims; the European Central Bank also announces its rate decision on Thursday. Friday, October 30, 2026, 8:30 a.m. ET — U.S. Employment Cost Index for the third quarter; the Bank of Japan also announces its policy decision on Friday. Friday, November 6, 2026 — U.S. employment report for October. Tuesday, November 10, 2026 — U.S. CPI inflation report. December 2026 — Next FOMC meeting; futures currently price roughly 84 percent odds of a rate hike. Gold Stock Corp buys and sells gold, silver, platinum and palladium bars and coins at 1323 Matheson Blvd E in Mississauga, 7086 Airport Rd #3 in Malton, and 736 Granville St #510 in Vancouver. Call us toll-free at 1-888-944-6539 with any questions about today's market. Live prices: https://www.goldstocklive.com