Reuters reported that gold dropped for a fourth straight day, down 0.8 percent to $1,585.75 an ounce, as the European Central Bank and the U.S. Federal Reserve showed no signs of introducing more aggressive measures to stimulate the economy.
As quoted in the report:
Gold fell in tandem with losses on Wall Street and U.S. crude futures, as markets across the board looking for monetary stimulus were less than impressed. Just last week, Draghi said the ECB would do whatever it takes to preserve the euro.
Phillip Streible, senior commodities broker at futures brokerage R.J. O’Brien, commented:
It appears that central banks now need more economic data for them to come out with more aggressive actions, and that’s disappointing for gold investors. But the downside on all these precious metals markets are limited as there is a stimulus-put built onto prices.