Gold Up Nearly 1 Percent on ECB Comment

Reuters reported gold rose to $1,615.44 an ounce, up for the third consecutive day, on comments from European Central Bank President Mario Draghi, who boosted hopes of more monetary easing in a pledge to do whatever necessary to protect the European ecomony from collapse.

As quoted in the press release:

Bullion climbed nearly 1 percent, lifted by a rally on Wall Street after Draghi’s remarks reassured investors, who already expect the U.S. Federal Reserve to explore new tools to boost the sluggish economy.

Adam Sarhan, chief executive of Sarhan Capital, commented:

Fundamentally, gold is definitely improved big time this morning because of comments by Draghi to save the euro, which basically means he’s going to print money. If he prints money, that means gold is going higher. Right now gold is testing resistance. If we can break above it, we will get another leg higher.

Click here to read the full Reuters report.