Gold Posts Longest Slump in 11 Weeks on Stimulus Outlook
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Gold futures tumbled, capping the longest slump in 11 weeks, on speculation that the Federal Reserve will scale back U.S. bond purchases.
Fed Bank of Chicago President Charles Evans, who has backed monetary stimulus, said today that the labor market showed “good improvement.” He indicated a cut in debt purchases may begin in September. In July, gold rose 7.3 percent, the most since January 2012, after Fed Chairman Ben S. Bernanke said that it’s too early to decide whether to pare asset buying next month.