The precious metal was up Wednesday as investors assessed the probability that the Federal Reserve will raise interest rates as early as June.
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“The big problem is that monetary policy is contagious and central bankers no longer have any bullets left," said precious metal expert Diego Parilla.
Jim Rickards' latest book "The New Case for Gold" reveals that the Fed is holding massive amounts of gold at Fort Knox and West Point.
The last time the yellow metal dropped in value for three consecutive years was between 1996 and 1998, and experts say prices will fall even further.
Blame Fed Chair Janet Yellen, as she said earlier this week that a rate hike in December was a “live possibility” if the economy continued to perform well.
Prices headed for a four-week-low on the Comex in New York.
Greece defaulted at the end of June, and metals investors expected higher prices in July. What we expected isn’t what we got. It isn’t the first or last time markets surprised investors. Do lower spot […]
Gold futures for August delivery declined for the third day Tuesday, hitting $1,177.30 an ounce in early trading on the Comex in New York.
Gold for April delivery on the Comex division of the New York Mercantile Exchange was last at $1,184.20 per ounce, or about $12 below where it was before the report was released.
Friday’s rally was just a brief break for the precious metal.
It plunged as much as 3% to $1,198 an ounce, the lowest price in almost six months.
Gold hit a five-month low in the wake of the jobs report, but recovered quickly climbing 4.8% to 1,230.
The precious metal hit its lowest since Oct. 17 at $1,275.80 an ounce.
Could the FOMC be providing easy money in an effort to pre-empt the impact of the debt ceiling debate on the US economy?