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Gold Steady Before German, Fed Ruling; Could Rise To $1,769 On Bond Plan
Sep. 12, 2012 05:24PM PST
Precious Metals InvestingReuters reported the steady price of gold, up 0.3 percent to $1,736.20, in anticipation of the German court ruling on the Euro zone’s rescue fund and the U.S. Federal Reserve’s bond policy decision.
Reuters reported the steady price of gold, up 0.3 percent to $1,736.20, in anticipation of the German court ruling on the Euro zone’s rescue fund and the U.S. Federal Reserve’s bond policy decision.
As quoted in the report:
The Fed is expected to launch another round of quantitative easing (QE3) at a two-day policy meeting starting on Wednesday that would provide a further lift for gold, which has climbed 7 percent over the past month on growing hopes for more stimulus
measures.
Nick Trevethan, senior commodity strategist at ANZ in Singapore commented:
If the Fed announces an open-ended, non-sterilised bond purchase plan, gold could rally past the $1,765-$1,768
resistance level. A disappointing outcome could knock gold down towards $1,700.
