Gold Price Pulls Back After Furious Rally

New York (Jun 16)  Gold futures surged to their highest in 17 months early on Thursday, but faded back below  USD1300  an ounce as traders booked profits when stocks rallied.

With risk appetite picking up in the second half of the session, August gold was up  USD10.10  , or 0.8%, to end at  USD1,298.40  /oz.

Gold topped out near  USD1320  at mid-morning.

The  Federal Reserve  held steady on rates yesterday. They appear to be in no hurry to tighten monetary policy in the wake of May's dismal jobs report.

Tame US inflation data cemented expectations the Fed will not move again until the autumn.

Consumer prices in the US rose by slightly less than expected in the month of May, the  Labor Department  revealed.

Source: RTTnews