Gold futures pecked away at losses on Wednesday in the aftermath of Fed chief Ben Bernanke stating during congressional testimony that changes are afoot for monetary easing policies that aim to spur economic growth and development, Reuters reports.
The Fed chief said the body he leads does anticipate changes in the coming months but those intentions are not etched in stone. He left open the possibility of changing that plan, depending on economic data and developments.
"One could argue that he lifted up the dovish expectations, because you are actually seeing the dollar reversing its earlier firmness," analyst Andrey Kryuchenkov with VTB Capital told the news service on Wednesday. "But we don't see strong reasons that could push the market much higher, as investors remain sidelined and volumes are low for the summer lull."
At 12:32 p.m. on Wednesday, gold futures fell 1.29 percent, a $16.73 loss to $1,275.40 per troy ounce.
Bloomberg reports the precious metal scraped its lowest value in about 34 months late last month and is in peril of notching a 13th consecutive year of annual gains.
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