NEW YORK (TheStreet ) -- Gold prices were climbing higher Wednesday, still bathed in the afterglow of the Federal Reserve's commitment to cheap money through late 2014.
Gold for February delivery was popping $28 at $1,728.10 an ounce at the Comex division of the New York Mercantile Exchange. The gold price has traded as high as $1,730.50 and as low as $1,703 an ounce while the spot price was adding $13, according to Kitco's gold index.
Gold prices were building on their 2% Wednesday rally that was ignited by the Federal Reserve leaving interest rates low through the end of 2014 and leaving the door open to more bond buying. The result is more cheap money in the system for a longer period of time. The dollar was lower against all currencies on the news, which was pushing gold higher as the metal becomes cheaper to buy in those currencies. As the Fed commits to a weak dollar policy, gold becomes attractive to investors as a wealth preserver.
