Gold Swings Near 5-Week High Before Fed Policy Meeting

Gold gained for the third straight session after factory production in the U.S. rose less than forecast, reviving prospects for an extension of economic stimulus by the Federal Reserve.

Output at factories rose 0.1 percent in September, trailing the 0.3 percent estimate in a Bloomberg survey of economists, figures from the Fed showed today. The central bank starts a two-day meeting tomorrow. Gold tumbled 19 percent this year amid concern the Fed would slow its $85 billion in monthly debt purchases as the economy strengthens.