MW: Gold gains as Bernanke shelves easing until Sept.
Any further steps to help economy to be discussed at FOMC meeting
By Claudia Assis and Chris Oliver, MarketWatch
SAN FRANCISCO (MarketWatch) — Gold futures rose Friday, helped by a falling dollar, as U.S. Federal Reserve Chairman Ben Bernanke put off any talks of economic easing to a policy meeting in late September.
Gold for December delivery GC1Z +1.67% gained $23.30, or 1.3%, to $1,786.50 an ounce on the Comex division of the New York Mercantile Exchange.
Futures rose as Bernanke, in his much anticipated speech at a gathering of central bankers in Jackson Hole, Wyo., said a discussion about easing options available to the central bank will be held at the next Federal Open Market Committee meeting late next month.
Bernanke announced the Fed had decided to expand its September meeting to two days, Sept. 20 and 21, to discuss the pros and cons of further easing.
That disappointed some that expected at least hints at the options. Bernanke said it was still difficult to judge how recent stock market weakness, debt-ceiling negotiations, and the European debt crisis had impacted the economy.
Gold futures added $5.90, or 0.3%, to finish at $1,763.20 an ounce Thursday on Comex.
From its lowest trading price on Thursday to Monday’s record, gold had lost nearly $200 in a two-day correction. See report on Thursday’s gold moves.
Friday gains came as the dollar weakened, with the dollar index DXY -0.04% falling to 74.064 versus 74.262 in North American trading late Thursday.
Dollar-denominated gold tends to rise as the U.S. currency falls. See currencies.
