London: Gold today gained for the first time in four days after the Federal Reserve said it will provide more stimulus if necessary and as investors waited for the outcome of European Central Bank policy makers meeting.
Gold rose 0.3 per cent to $ 1,604.60 an ounce and silver rose 0.4 per cent to $ 27.53 an ounce.
The euro strengthened as much as 0.6 per cent against the US dollar. Bullion typically moves inversely to the greenback.
Investors were looking for ECB President Mario Draghi to make good on his promise to do whatever is needed to protect the euro, interpreted by most as a signal that the ECB will intervene in bond markets.
The metal fell 0.9 per cent yesterday as the US central bank held off announcing further monetary easing, boosting the dollar. South Korea added to its gold reserves for the third time since June 2011.
The Bank of Korea, which has the world’s seventh-biggest foreign-exchange reserves, bought 16 metric tonnes of gold last month, increasing reserves to 70.4 tonnes, it said today, joining central banks from Russia to Kazakhstan in buying bullion to diversify assets.
The bank bought 25 tonnes over one-month from June to July last year, the first purchases in more than a decade, and added further 15 tons in November.