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Gold rebounds above $4,000 after midterms; Fed unlikely to rescue AI-driven stock trade, says expert.

Market News
04 Nov 2026, 17:33 WIB
Kitco
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Bullish
Gold rebounds above $4,000 after midterms; Fed unlikely to rescue AI-driven stock trade, says expert.

Gold briefly fell below $4,000 due to forced selling but quickly recovered after the U.S. midterm elections, rising nearly 3%. Central banks increased gold purchases significantly, signaling strong demand. The Federal Reserve is unlikely to start a new rate-hiking cycle despite AI-driven market volatility, and investors should not expect the Fed to bail out the concentrated AI stock trade. Long-term, gold remains a solid asset amid shifting interest rates and a vulnerable dollar, while the AI sector faces cash flow and political challenges.

Gold market context is provided here for readers. As of Nov 04, 2026 22:02 WIB, 124 of 150 priced US stocks on Pluang rose while 26 fell. Notable movers include DraftKings Inc (DKNG) at USD 23.40 with a 6.70% increase, NIO Inc. (NIO) at USD 3.40 up 6.58%, and Roblox Corp (RBLX) at USD 48.46 gaining 6.56%.

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