Futures & Commodities Update
- Published on Wednesday, 04 April 2012 12:34
- Written by Bloomberg.com
Gold dropped to a 12-week low in New York as the dollar strengthened on signs the Federal Reserve may refrain from providing more monetary stimulus for the U.S.
The Fed plans to hold off quantitative easing unless economic expansion falters or prices rise at a rate slower than its 2 percent target, according to minutes of a March 13 policy meeting. The dollar advanced against the euro for a third day today. Bullion and the greenback tend to move inversely.
“Gold isn’t looking a pretty picture,” Edel Tully, an analyst at UBS AG in London, wrote in a report today. “After a brief recovery, which is viewed as a limited correction, technical conditions are favoring downside again.” Full story