Gold Rises to Three-month High on Yellen Comments

Gold achieved its most significant one-day gain in three weeks today, rising 1.3 percent to hit $1,290.69 per ounce, Reuters reported. Earlier in the day, it rose to 1,293.44, its highest price since November.

Meanwhile, US gold futures for February delivery were up $5.20 an ounce, to $1,279.90.

The gains came on the back of comments from new Federal Reserve Chair Janet Yellen. She said that she will “not make any abrupt changes to the central bank’s commitment to a measured tapering of bond purchases,” as per the news outlet.

Commenting on Yellen’s statement, Mitsubishi analyst Jonathan Butler told Reuters, “[w]ith Janet Yellen seemingly continuing the hawkish policy begun by her predecessor, that may take some of the wind out of god’s sails in the next few weeks. It looks a bit over-extended compared to where it has been. It’ll be interesting to see what the press conference in the next hour or so will bring.”