Gold Swings as Cyprus Denies Bullion-Sale Plan, Fed Mulls QE End

Gold swung between gains and losses as Cyprus denied it plans to sell bullion to ease its debt crisis and some investors reduced holdings on speculation that the U.S. Federal Reserve may scale back stimulus measures.

Several Fed officials said the central bank should begin tapering its quantitative easing program later this year and stop it by year-end, according to the minutes of their March meeting, released yesterday. Each month the Fed buys $85 billion of securities. Cyprus’s central bank hasn’t discussed any plan to sell gold reserves, the Nicosia-based institution said.