Gold falls 2%, back under $1,250

FXstreet.com (Córdoba) - The day after the Federal Reserve decided to reduce further the bond-buying program gold plummeted more than $20, suffering the worst decline in more than a month.

The value of the ounce finished Thursday at $1,243.50, the lowest daily close in a week. After starting the day near $1,270 lost momentum and accelerated the downside after breaking below $1,260. Price made a small pause on European hours around $1,255 to resume the decline afterwards plunging to $1,238.00 (January 30 low).

During the American session gold stabilized and moved in ranges in the last hours between $1,246 and $1,240.

Important weekly decline for gold

Gold started the week testing levels on top of $1,270 but failed to hold and retreated sharply. On a weekly basis is headed toward a loss over 2%, after rising in the previous five weeks.

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