Gold edges up on Fed’s stimulus move
Gold today rose from its lowest close in more than three years to pare a weekly loss that was spurred by the US Federal Reserve’s decision to begin tapering stimulus. Goldman Sachs Group said that bullion’s decline isn’t over as it heads for the biggest annual drop since 1981.
Gold rose 0.6 per cent to $1,195.46 an ounce after falling 2.5 per cent yesterday. Silver lost 1.3 per cent to $19 an ounce, the lowest price since December 4, before trading 0.3 per cent higher at $19.30. Gold is heading for the first annual decline since 2000 after investors lost their faith in precious metals as a store of value. The Fed said it will cut monthly asset purchases, known as quantitative easing, to $75 billion from $85 billion.
Source:Hindu business line