This just isn't the same Gold market as a few months ago

  • 📰 FXStreetNews
  • ⏱ Reading Time:
  • 21 sec. here
  • 6 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 72%

Gold News

XAUUSD,Metals,Commodities

Geopolitical risks have sparked renewed demand for safe-havens, but the rally in Gold prices is now largely underpinned by the weakness in USD, TDS commodity strategist Daniel Ghali notes.

Asia remains on a buyer's strike “Geopolitical risks have sparked renewed demand for safe-havens, but barring further escalations, the rally in Gold prices is now largely underpinned by the weakness in USD, associated with the strength in Asian currencies, and the strong bid in bond markets, rather than by demand for Gold itself. Under the hood, this actually points to a less favorable backdrop for Gold flows.

” “Any sign of geopolitical de-escalation in the Middle East risks inflicting significant damage to Gold bulls, with a reversal in safe-haven flows potentially forcing discretionary money managers to liquidate their bloated positions, which could in turn catalyze subsequent selling activity at a large-scale from CTA trend followers should prices revisit the $2400/oz mark in active futures.

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:

 /  🏆 14. in NG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines