Categories: Federal ReserveGold

Prospects for Gold Bullish in Wake of Fed Decision

Prospects for Gold Bullish in Wake of Fed Decision (Bloomberg)

On Wednesday, the day the Fed announced that it would not reduce its stimulus purchases, gold shot up 4.1 percent to mark its biggest gain in 15 months. Consequently, as gold surged, the dollar slumped. According to Jeff Sica, of Sica Wealth Management, this move is just the beginning, “There will be ongoing currency devaluation both in the U.S. and around the world. I anticipate significant fundamental strength in the price of gold in the near term.” Still, gold’s year end pop won’t be enough to offset gold’s first annual decline in the last 13 years. Now it’ll be up to investors to decide if this dip in the price of gold will be enough to warrant buying the barbarous relic.

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