GOLD PRICE FORECAST: THE CASE FOR FURTHER PATIENT ADVANCE WITH EACH PASSING DAY LOOKS INTACT – MUFG
Gold rises to a new record as US Fed rate cut bets help drive the prices up. Economists at MUFG Bank analyze the yellow metal’s outlook.
Macro funds were a new force of buying in Gold’s rally
Notwithstanding the significant velocity of Gold’s recent gains, the case for further patient advance with each passing day looks intact.
Gold touched an all-time high as fund buying combined with speculation over a US Federal Reserve pivot and geopolitical and financial risks underpinned a rally. Swap markets now suggest a 64% chance of a US Federal Reserve rate cut in June, a higher probability than early last month.
A weaker US Dollar and lower treasury yields, along with ongoing geopolitical uncertainty, have been gradually pushing up Gold prices since mid-February.
Macro funds, which hadn’t been active in the Gold market until recently, were a new force of buying in Gold’s rally. The latest data showed hedge fund and money managers boosted their net bullish gold bets as of the end of February.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.