The US Federal Reserve will cut its stimulus program by another $10 billion per month.
The gold price added to the day's gains on Wednesday, after a decision by the US Federal Reserve to continue reducing asset purchases under its economic stimulus program at the same rate of $10 billion a month.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery – the most active contract – last traded at $1,265.20 an ounce, gaining shortly after the announcement and up more nearly $15 from yesterday's close.
April gold also traded higher in heavy volumes with more than 230,000 contracts of 100 troy ounces for the two futures changing hands by early afternoon compared to a daily average of of roughly 170,000 contracts.
The Federal Open Market Committee as widely expected announced a reduction of a further $10 billion to $65 billion a month of purchases under its quantitative easing program that has pumped $4 trillion of easy money into the US economy. ...