Gold Prices Hold Steady Above $5,000; Geopolitical Support, Fed Hawkishness Compete

Gold prices held steady above the $5,000 mark on March 18, 2026. The metal balances support from geopolitical events against the prospect of a hawkish U.S. Federal Reserve. Traders now await today’s Federal Open Market Committee (FOMC) decision.

Conflict in the Middle East provides a key floor for gold. Reported deaths of Iranian officials and U.S. retaliatory strikes have effectively closed the Strait of Hormuz. This supply chain disruption fuels energy-driven inflation fears, reinforcing gold’s status as a hedge against chaos.

Conversely, the Fed’s shifting stance limits gold’s upside. Rising oil prices have led markets to cut rate-cut bets for 2026, with many expecting only one reduction. This “higher-for-longer” interest rate outlook strengthens the U.S. Dollar, creating headwinds for gold.

Gold traded near $4,990, consolidating above its $4,970 support level. It faces resistance from a descending trendline that began at a $5,350 swing high. A decisive move above the 50-period moving average at $5,046 could open a path to $5,127. A break below $4,970, however, may target $4,910 and $4,843.

Silver traded near $79.41, stabilizing above its important support zone of $78.12. A descending trendline from its $95 peak continues to weigh on prices. If silver recaptures $82.51, a different scenario could emerge; a break below $78.12 could see targets at $75.26 and $72.30.