Investing.com - Gold prices rose on Monday as investors snapped up positions on talk the Federal Reserve may announce plans to stimulate the economy with monetary easing tools.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery were up 0.33% and trading at USD1,676.15 a troy ounce, up from a session low of USD1,672.45 and down from a high of USD1,676.25 a troy ounce early during the session.
Gold futures were likely to test support at USD1,662.95 a troy ounce, the low from Aug. 24, and resistance at USD1,675.15, the high from Aug. 23.
The Federal Reserve will host its annual symposium at Jackson Hole, Wyoming next week, where Fed Chairman Ben Bernanke has announced monetary easing measures in the past.
European Central President Mario Draghi will speak at the event as well, and expectations for stimulus in the U.S., Europe and elsewhere pushed gold higher.
Since the downturn four years ago, the Federal Reserve has rolled out two rounds of quantitative easing, in which the Fed buys Treasury holdings or mortgage-backed securities from banks, pumping the economy full of liquidity and lowering interest rates, weakening the dollar in the process.
Gold and the dollar trade inversely from one another, and talk the Fed may intervene sends the precious metal climbing.
Chairman Bernanke told a lawmaker in a letter last week that the Fed had the "scope for further action," while Fed officials have repeatedly said they cannot rule out more easing measures.
Elsewhere on the Comex, silver for December delivery was up 1.06% and trading at USD31.035 a troy ounce, while copper for December delivery was up 0.52% and trading at USD3.507 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for October delivery were up 0.33% and trading at USD1,676.15 a troy ounce, up from a session low of USD1,672.45 and down from a high of USD1,676.25 a troy ounce early during the session.
Gold futures were likely to test support at USD1,662.95 a troy ounce, the low from Aug. 24, and resistance at USD1,675.15, the high from Aug. 23.
The Federal Reserve will host its annual symposium at Jackson Hole, Wyoming next week, where Fed Chairman Ben Bernanke has announced monetary easing measures in the past.
European Central President Mario Draghi will speak at the event as well, and expectations for stimulus in the U.S., Europe and elsewhere pushed gold higher.
Since the downturn four years ago, the Federal Reserve has rolled out two rounds of quantitative easing, in which the Fed buys Treasury holdings or mortgage-backed securities from banks, pumping the economy full of liquidity and lowering interest rates, weakening the dollar in the process.
Gold and the dollar trade inversely from one another, and talk the Fed may intervene sends the precious metal climbing.
Chairman Bernanke told a lawmaker in a letter last week that the Fed had the "scope for further action," while Fed officials have repeatedly said they cannot rule out more easing measures.
Elsewhere on the Comex, silver for December delivery was up 1.06% and trading at USD31.035 a troy ounce, while copper for December delivery was up 0.52% and trading at USD3.507 a pound.