Gold News & Info

Source: Dr. Bill Musgrave, American Gold Exchange

Austin— Posting its first winning session in four, gold inched up behind talk of additional monetary stimulus in the U.S. and Japan. Fed Vice Chair Janet Yellen voiced strong support today for continuing the Fed's open-ended program of buying $85 billion in long-term government bonds each month until unemployment drops to 6.5%. Widely expected to succeed Ben Bernanke as Fed Chair next January, Yellen echoed Bernanke's assertion last week that the premature tightening of monetary policy "would carry a high risk of short-circuiting the recovery." The likely next governor of the Bank of Japan, Haruhiko Kuroda, vowed to undertake a similar program of open-ended asset purchases, saying that the BOJ "will do whatever we can" to end Japan's fifteen years of deflation. Global monetary easing has helped the gold price to rise by nearly 80% since 2008 because it devalues currencies and increases the long-term risk of inflation. Silver finished the day virtually flat while platinum and palladium slipped 0.5% and 0.8%, respectively.

At the Comex close: April gold picked up 10 cents to $1,572.40; May silver added less than a cent to $28.50; April platinum dropped $7.30 to $1,566.20; and June palladium fell $5.95 to $714.45 an ounce.