Gold and Silver Edge Lower as Federal Reserve President Doubts QE Benefits

  Google+  Twitter | + More Articles
  • Like on Facebook
  • Share on Google+
  • Share on LinkedIn

GOLD

On Monday, gold (NYSEARCA:GLD) futures for December — the most active contract — decreased $5.30 to close at $1,365.70 per ounce, while silver (NYSEARCA:SLV) futures for September edged 16 cents lower to finish at $23.17. Both precious metals experienced weakness as the market continues to speculate about the future of the Federal Reserve’s quantitative easing programs. The yield on the 10-year Treasury note reached 2.90 percent, its highest level in more than two years.

In a recent interview with the Richmond Times Dispatch, Jeffrey Lacker from the Richmond Federal Reserve Bank said that sluggish growth is unlikely change, despite the central bank’s QE programs.

He explains, “The data in the first half of the year in my view is confirming my sense that the asset purchases were unlikely to have a noticeable effect on growth. Back last fall when the asset purchases began, many were expecting a pickup in real economic growth the first half of this year. We have not seen that.

More Articles About:

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business