Gold Moves Tied to the Federal Reserve
Over the past few years, the moves in gold and other precious metals have become tied more and more closely to the actions of the world's major central banks. As the Federal Reserve, European Central Bank, and, most recently, the Bank of Japan have flooded the financial markets with money, the price of gold has floated higher on the sea of liquidity. One reason behind this year's selloff in the yellow metal was the fear that the Federal Reserve may soon begin to withdraw the massive amounts of liquidity that it has injected into the financial markets. But that may…
