Weaker dollar after Fed decision gives gold a lift

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Weaker dollar after Fed decision gives gold a lift
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The US central bank is set to call time on its pandemic-era stimulus programme

Bengaluru — Gold prices gained on Thursday, as the dollar weakened after the US Federal Reserve decided it would end its pandemic-era bond-buying programme in March, with investors now awaiting policy decisions from other major central banks.

“Any dollar weakness should see a corresponding rise in gold. The expectation is for a winding back of fiscal and monetary stimulus. If this view is unchanged, then it would be reasonable for gold prices to remain below $1,800,” said Michael Langford, director at corporate advisory AirGuide.

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