The ADP figures put a damper on gold, sending it $7 lower to a four-day low of $1607.
Gold risks a further pullback if the Fed doesn’t shift to a more dovish stance but that is unlikely. Introducing more constructive language or extending the pledge to keep rates low until mid-2015 sends the signal that action is coming at the next meeting in September.
Combined with action from the BOE and ECB on Thursday, gold may be poised for a record run.
Bloomberg writes that the most-accurate gold forecaster last month expects further declines, while the next two best analysts expect record highs within a year.
