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The price of gold per ounce is falling off a bit and this is surprising due to the news that is expected to post later today. The Fed’s plan on releasing information that will thrust more of the greenback into circulation and many believe the dollar will lose ground and be devalued as a result. A highly anticipated two day meeting will culminate today to determine what action the Fed will take to boost the economy. Economists predicted the Fed would roll out another round of quantitative easing as a measure to assist the sluggish economy, but recent reports have investors feeling anxious that the measures taken will not be as extensive as initially thought. The Fed is scheduled to release a statement later today to report their action plan. Experts anticipate that Treasuries will be purchased in total of $500 billion worth and spread out in $100 billion monthly increments. Interest rates will lower and the hope is that lending and ultimately spending will increase. The dollar will likely lose ground however. When currencies are devalued, commodity value rates rise. The thought right now is that investors are staying somewhat sidelined and are waiting out the news. U.S. Gold prices for December delivery did drop recently to $1,355 per ounce. Expectation is that the rebound is not far off. Author: Camillo Zucari
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