Jakarta. Gold prices recovered on Wednesday after suffering a steep decline overnight, as investors awaited policy signals from the United States, including a possible Federal Reserve rate cut and the ongoing partial government shutdown.

Gold prices in the spot market rose 0.97 percent to $4,137.69 as of Wednesday. The precious metal has gained 50 percent year-on-year.

In contrast, state miner Aneka Tambang’s (Antam) gold prices dropped sharply this morning, with profit-taking seen after the precious metal hit a record high yesterday. According to Antam’s official website, Antam gold fell Rp 177,000 to Rp 2.31 million ($139) per gram on Wednesday. The buyback price also dropped Rp 172,000 to Rp 2.164 million per gram.

“In the short term, gold remains in a bearish phase, with potential downside toward the psychological level of $4,000 per troy ounce,” Dupoin Indonesia commodity analyst Andy Nugraha said in a research note on Wednesday.

He added that if the price fails to break below that level, a limited technical rebound could occur, targeting around $4,183 per ounce.

From a fundamental perspective, Andy said weaker physical demand and rising appetite for riskier assets have weighed on gold prices. Renewed optimism over US–China trade relations also reduced safe-haven demand. Reports suggest US President Donald Trump may delay imposing a 100-percent tariff on all Chinese imports, initially planned for Nov. 1.

The softer tone from the White House boosted riskier assets and strengthened the US dollar, which has gained for three consecutive sessions. The US dollar index rose to around 98.84, its highest level in a week, exerting further pressure on gold in the short term.

“Despite Trump’s shifting rhetoric and uncertain trade negotiations, investors remain cautious. Amid global uncertainty, gold still plays an important role as a hedge,” Andy said.

The market is also watching for policy clues from the Federal Reserve, with expectations of potential rate cuts providing some medium-term support for gold.

“If the Fed turns more dovish, the opportunity cost of holding gold declines, paving the way for a rebound above $4,200,” Andy added.

Meanwhile, the ongoing US government shutdown, now entering its fourth week, has added to financial market uncertainty. 

Despite near-term weakness, Andy said gold’s medium-term outlook remains positive, supported by loose monetary policy, geopolitical risks, and fiscal uncertainty in the US.

Antam Gold Prices (Wednesday, Oct. 22):

• 0.5 gram — Rp 1,205,000 
• 1 gram — Rp 2,310,000 
• 2 grams — Rp 4,560,000
• 3 grams — Rp 6,815,000
• 5 grams — Rp 11,325,000
• 10 grams — Rp 22,595,000
• 25 grams — Rp 56,362,000
• 50 grams — Rp 112,645,000
• 100 grams — Rp 225,212,000 
• 250 grams — Rp 562,765,000
• 500 grams — Rp 1,125,320,000
• 1,000 grams — Rp 2,250,600,000