Thursday saw gold prices plunge in value, which Reuters attributed to the aftermath of the U.S. Federal Reserve's newly announced plan to spur the economy and create growth.
The price of bullion sank lower than the $1,800 per troy ounce threshold while en route to its lowest value in one month, according to Bloomberg. Following the announcement of Operation Twist, the U.S. dollar strengthened but global equities and the commodities market suffered the consequences. One analyst predicted that if the gold market sinks to the price of $1,700 per troy ounce, the yellowish metal might see more severe losses.
"For the short term, gold is likely to remain in the range of $1,750 and $1,850," analyst Ong Yi Ling with Phillip Futures told Reuters. "If we do see $1,700, that could potentially cause a greater correction to $1,500."
At 9:18 a.m. on Thursday, gold futures dove 3.8 percent, a $68.70 drop to $1,739.40 per troy ounce.
Silver futures also suffered the consequences of Operation Twist by dropping well below the $40 per troy ounce milestone mark. At 9:19 a.m., the volatile metal was down 8.36 percent, a $3.384 reduction to $37.085 per troy ounce.
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