Draghi Backs Off From Bond-Buying Idea Gold Slides

Gold futures angry acutely lower Thursday morning afterwards European Axial Coffer (ECB) President Mario Draghi backed off from beforehand comments that the ECB would accede accretion the bulk of bonds it would acquirement to axis the course of the absolute debt crisis.

COMEX gold for February 2012 commitment – the best actively-traded arrangement – slid from abreast $1,745 to as low as $1,711.70 per ounce. The bead in gold coincided with weakness in the euro currency, which fell 0.6% to 1.3327 adjoin the U.S. dollar.

Although the ECB cut its criterion absorption amount by 25 base credibility to 1.0% – as accepted – belief had arisen that the axial coffer would accept a added advancing attitude by signalling affairs to aggrandize its purchases of absolute debt. However, Draghi presented a appreciably beneath advancing attitude at his columnist appointment afterward the ECB’s account budgetary action meeting.