Gold futures are heading toward record highs on Thursday, pushed by speculation about the central bank of the U.S. considering additional measures to spur an economic recovery that is slowing down, Bloomberg reports.
Following the turmoil prompted by the debt ceiling increase debacle in Washington, Swiss and Japanese government officials took measures to reduce the strength of the franc and yen, respectively. The U.S.' AAA credit rating is subject to a review.
Donald Kohn, formerly a vice chairman of the U.S. Federal Reserve, told the International Business Times that additional rounds of monetary easing ought to be under consideration to spur the lagging economy.
"I would certainly want to weigh lots of arguments pro and con on any of those options," he told the publication, pointing to the options that the Fed may employ.
At 6:27 a.m. on Thursday, gold futures rose 0.10 percent, a $1.60 rise to $1,667.90 per troy ounce.
As the second round of quantitative easing wrapped up in June, Fed Chair Ben Bernanke confirmed a third round would not immediately ensue. Minutes from a high-level Fed meeting indicate the topic was hotly debated.
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