Gold Swings as Investors Weigh Stimulus Against Dollar

Gold futures climbed for the first time in four sessions on speculation that central banks will continue stimulus measures to spur economic growth.

Haruhiko Kuroda, the nominee to be Bank of Japan (8301) governor, said he would do whatever is needed to end 15 years of deflation, while Federal Reserve Vice Chairman Janet Yellen said the central bank should press on with $85 billion in monthly bond buying. Bullion advanced 7 percent last year as nations from the U.S. to China pledged more stimulus to bolster growth.

“It seems as if accommodative monetary policies are here to stay for some time,” Lance Roberts, the chief executive officer of Streettalk Advisors LLC in Houston, said in a telephone interview.

Gold futures for April delivery rose 0.2 percent to $1,575.60 an ounce at 10:11 a.m. on the Comex in New York. Prices dropped 2.7 percent in the previous three sessions and have retreated 6 percent this year.

Physical gold demand picked up “markedly” below $1,600, Standard Bank Plc’s SBG Securities (Pty) Ltd. said in a report today.

Silver futures for May delivery climbed 0.3 percent to $28.58 an ounce in New York. The price has fallen 5.4 percent this year and touched $27.925 on March 1, the lowest since Aug. 16.

Volume was 32 percent lower than the average in the past 100 days for this time.