Gold Up 0.5 percent: Greatest Weekly Gain In Two Months

Reuters reported that despite the reticence of the U.S. Federal Reserve to take further stimulative action, gold rose by 0.5 percent, reporting the biggest weekly gain in eight weeks.

As quoted in the report:

Bullion was up 0.5 percent for the day and logged its biggest weekly gain in eight weeks, boosted by a pledge from the head of European Central Bank to preserve the euro and hopes that the Fed will explore new tools to promote growth in the U.S. economy.

James Steel, metals analyst at HSBC, commented:

We started off reasonably well carrying over from yesterday. But we have pared gains since then because the numbers are not as quite as disappointing, and some of the premium in the gold market has already built in.

Click here to read the full Reuters report.