The price of gold rose on February 28, as a drop in the value of the American dollar coupled with gains made by the euro pushed the precious metals market skywards, Bloomberg reported.
According to the news outlet, the dollar fell versus the euro prior to the European Central Bank (ECB) allotting a second round of unlimited three-year funds to help bolster the region's banks.
"I like the $1,700 to $2,000 range based on the macroeconomic factors as they exist today," Chuck Jeannes, chief executive officer at producer Goldcorp Inc., told Bloomberg in an interview. "It’s certainly set the table for a much higher gold price."
Reuters reported that the euro climbed to a three-month high against the dollar ahead of the expected cash injection from the ECB, as the financial institution is expected to contribute 500 billion euros to help deal with the euro zone debt crisis.
Bloomberg reported that gold for April delivery, the most actively traded contract on the Comex in New York, rose 0.3 percent to $1,781.10 an ounce early in the morning on February 28.