Bloomberg (25/10) --- Gold traded below a
three-week high in London on speculation physical demand may slow after
prices rallied on bets for prolonged U.S. stimulus and a weaker dollar.Bullion reached $1,352.06 an ounce
yesterday, the highest since Sept. 30, and climbed as much as 8 percent
since Oct. 15. The Bloomberg U.S. Dollar Index, a measure versus 10
currencies, was little changed near an eight-month low after data showed
yesterday more Americans than forecast filed jobless-benefit claims and
manufacturing growth slowed Gold is set for the first annual drop in
13 years as some investors lost faith in the metal as a store of value
and on speculation the Fed will slow debt purchases as the economy
strengthens. The central bank unexpectedly refrained last month from
slowing the $85 billion of monthly bond-buying and policy makers will
keep the buying level until March, according to economists in an Oct.
17-18 Bloomberg survey.
