Gold Bugs Hope to Dodge Benanke's Flyswatter
- Market Wrap: Existing Sales Outpace in Sept.; Loeb's Third Point Eyes Amgen; Daimler Exits Tesla; Earnings Galore
- Yahoo! (YHOO) Tops Q3 EPS by 22c
- After-Hours Stock Movers 10/21: (UIS) (SIX) (BRCM) (YHOO) Higher; (NSPH) (HIMX) (CREE) (TSLA) Lower (more...)
- Dan Loeb Discusses Long Amgen (AMGN), eBay (EBAY) and Alibaba (BABA) in Q3 Letter; Sells Sony (SNE)
- Daimler Sells 4% Stake in Tesla (TSLA)
SPDR Gold Trust (NYSE: GLD) is expected to open higher on Tuesday, as spot gold prices rally. The move higher isn't expected to have much more traction short-term, as gold traders await the FOMC rate decision on Wednesday. While rates are not expected to change, comments from the Fed are expected to indicate further quantitative easing, and this has gold bulls sharpening their horns. Easy monetary policy supports gold prices because it adds liquidity and helps stoke inflation. Gold bulls also hope an easy-money policy will undermine the bullish trend in the U.S. dollar. However, if Fed officials fail to deliver on QE in terms of size and scope, it could send gold-bugs scrambling, and gold would likely head back below $1600/oz.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Most Regional Fed Banks Saw Modest or Moderate Economic Growth - Beige Book
- IEA Lowers Oil Demand Outlook for FY14 on Economic Growth Outlook, Weak Recent Trend (USO) (OIL)
- UPDATE: Crude Inventory Grows 8.9M Barrels vs 2.3M Expected
Create E-mail Alert Related CategoriesCommodities, ETFs
Related EntitiesFederal Open Market Committee
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!