Gold futures climbed on Thursday following the announcement by the leader of the central bank of Europe indicating the body will purchase the debt of struggling nations in the euro zone, The Wall Street Journal reports.
Demand increased for the yellowish metal as an alternate asset as it pushed to its top price in more than five months. Mario Draghi, president of the European Central Bank, conducted a press conference following the Thursday meeting of policy makers and described the plan to stave off the sovereign debt crisis.
"Any boost to the ECB's balance sheet would be gold beneficial in the long run," states a note penned by analyst Andrey Kryuchenkov with VTB Capital, according to The Wall Street Journal.
At 12:23 p.m. on Thursday, gold futures climbed 0.71 percent, a $12 increase to $1,706 per troy ounce.
Of particular concern are bond yields in Spain and Italy, which have pushed to their highest since the shared currency of the European Union first entered into use, according to Reuters. Italy hosts the region's third-largest economy and Spain hosts the fourth-largest.
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