If the Federal Reserve unexpectedly raises interest rates by 100 basis points next week, the gold price will further deteriorate and fall below 1600 dollars/ounce, but the FOMC may insist on raising interest rates by 75 basis points. In any case, the market should be ready. The Federal Reserve will maintain this pace before the November meeting, which will keep the gold price under pressure.
If the economic data worsens in the coming months, the Federal Reserve may cut interest rates, but it needs to see inflation decline. The Federal Reserve needs to consider the issue of balance. It is impossible to raise interest rates to 5% or more without side effects.