Gold fights to hold ground above key level, Federal Reserve meeting in focus

SINGAPORE: Gold fought to hold steady above a key technical level on Wednesday, after snapping a four-day slide in the previous session on hopes the U.S. Federal Reserve would opt to continue with monetary stimulus.

The central bank is expected to confirm in a statement at 1915 GMT that it will keep up $85 billion in monthly bond buying until unemployment rates drop significantly, although officials have shown concern over side effects from such measures.

Investors are also waiting for nonfarm payrolls data on Friday for a close look at the U.S. labour market. Economists surveyed by Reuters expect steady hiring from employers in January, helping unemployment to stand unchanged from a month earlier at 7.8 percent.

Recent data showing signs of a steady economic recovery has depressed sentiment towards gold, a safe haven popular in times of economic and political distress.

Read More at The Economic Times .

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The Sound Money Institute is and educational organization dedicated to the stability and soundness of the United States Dollar. Faced with unprecedented pressure to spend beyond its means the United States Government has pressured the Federal Reserve Bank to monetize the debt or in other words they are printing currency to fund deficit spending by the US Treasury.

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