Gold dropped 0.8% to $1,310.74 per ounce yesterday following clarification from the Federal Reserve that they plan to continue to taper their monthly asset purchase program known as quantitative easing.

According to Industry analyst James Steel, you would normally expect to gold to underperform when monetary policy is tightening. In addition, he believes gold will consolidate further but is confident that gold will remain above the $1,300 psychological threshold.

SPDR the largest exchange traded product experienced a 0.7% outflow to 795.61 tonnes the largest outflow since December 23rd.

Silver, platinum and palladium all traded negatively yesterday.