Gold prices set to climb as intervention chatter grows louder

Increased discussion about the prospect of the U.S. and China intervening to boost their respective economies was set to benefit the price of gold on Friday, Bloomberg reports.

The hosts of the globe's two largest economies were forecast to advance with methods and strategies of monetary easing policies to spur growth. The premier of China noted earlier this week that might be happen because it is possible while the staff of the U.S. Federal Reserve is preparing for its annual retreat later this month in Jackson Hole, Wyoming.

"The market is still moving on changing expectations of central bank actions, and is so far unwilling to push prices out of the $1,590 to $1,630 range," senior commodity strategist Nick Trevethan with ANZ in Singapore told Reuters on Friday.

At 10:15 a.m. on Friday, the price of gold dropped 0.21 percent, a $3.40 slip to $1,615.80 per troy ounce.

The precious metal was on track to monitor Friday's gains of the common currency of the European Union, which benefited from German Chancellor Angela Merkel noting support for strategies of the European Central Bank's effort to challenge the sovereign debt crisis, according to Reuters.