There is a growing divergence between physical gold and the paper market - WisdomTree

  • 📰 KitcoNewsNOW
  • ⏱ Reading Time:
  • 34 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 78%

Business News News

Business Business Latest News,Business Business Headlines

There is a growing divergence between physical gold and the paper market - WisdomTree | kitconews gold silver finance preciousmetals markets mining investing |

Editor's Note: With so much market volatility, stay on top of daily news! Get caught up in minutes with our speedy summary of today's must-read news and expert opinions. Sign up here!

Last week, when gold prices dropped to a two-year low, the market was down roughly 12% since the start of the year. This week, the precious metal has seen a short-covering rally pushing prices back above $1,700, cutting the loss to 6% year-to-date. Shah said that he suspects the growing divergence between the physical market and the paper market is the reason why gold has performed well in the current environment.

"The physical market is providing a lot more support to the market than we might actually think," he said."This is similar to what happened in 2013 when falling future prices unleashed major demand for the physical metal."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 13. in BUSİNESS

Business Business Latest News, Business Business Headlines