Spot gold prices have edged their way higher Wednesday in light trading volume amid a moderately weaker showing from the USD. Poor economic data seen from both sides of the Atlantic has helped to moderately spark up some fresh hopes for further monetary stimulus measures from the Federal Reserve, which would boost gold’s appeal as an inflation hedge. Prices in gold appear to also be underpinned this morning by the WSJ report that speculates that the US Federal Reserve is close to taking new steps to boost US economic growth. Gold continues to rift around aimlessly as a lack of clarity remains as to what the Federal Reserve’s stance is on any imminent quantitative easing that may be unleashed on the market in the near future. Consequently market volatility in gold has subsided driving many market participants away from the precious metal. Prices have tentatively edged their way higher in Asian hours, advancing from early intra-day lows of $1576.43 to session highs of $1585.41, with spot gold currently seen trading at $1584 a troy ounce, up $3.82 from the NY close.
EasyForexNews Research Team