The Fed’s reluctance to raise interest rates is contributing to a weaker dollar, which has also helped support USD-denominated gold bullion. Consequently, a weaker USD makes alternative assets like metals more attractive.

However, it must be noted that the Fed did not give a specific timeframe for when it could raise rates again. As investors have already learned this year with gold and gold miners, the longer rates stay low, the better for gold-related assets.

“GDX is still up nearly 90% for the year. Those gains of course have been driven by a dovish Fed. If the Fed does hike in December then it would be a short-term negative for gold prices and GDX. However, I continue to believe that the pace of rate hike will be slow,” adds Seeking Alpha.

For more information on the gold bullion market, visit our gold category.

VanEck Vectors Gold Miners ETF