Gold prices closed above a 3-week high on Thursday. The anti-fiat yellow metal continued to gain ground in the aftermath of this week’s Federal Reserve monetary policy announcement. There, the central bank doubled the pace of tapering asset purchases, opening the door to finishing the process in early 2022. Meanwhile, policymakers hinted at three potential rate hikes next year.
It seemed though that the markets got ahead of the curve, with the S&P 500 rallying on Wednesday. This, however, reversed course Thursday. The Nasdaq 100 dropped about 2.6%, the worst day since late September. At first glance, it would seem that gold took on a ‘safe haven’ role over the past 24 hours, but a closer look reveals a different picture.