Gold

Gold testing resistance

Gold broke down on Friday as stocks rallied on the back of the much-stronger US nonfarm jobs report, which further fuelled optimism about the recovery. The dollar index closed higher, ending a run of losses. However, at the start of this week, the precious metal has started higher again on the back of a mixed …

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Will gold hold THIS pivotal level?

Gold has been stuck in an ugly range for several weeks now. But more recently, the pressure has been growing for a downside breakdown as stocks surged on lockdown easing hopes and amid central bank support. Today, the metal was testing a key support level, and traders were wondering whether support will hold given the …

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Gold getting heavier

Some folks have attributed gold’s recent decline, in the face of collapsing equity prices and interest rates, to a stronger US dollar. This is not the case, as gold in euro terms have also fallen equally sharply. Investors are therefore abandoning the so-called safe-haven metal for other reasons, including because of concerns over physical demand …

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Gold extends recovery as stocks, yields and dollar drop

After last week’s big drop, gold has staged a sharp rally and looks set to break to a new high for the year. Investors are ignoring concerns over physical demand for the precious metal and instead concentrating on its appeal as a safe-haven commodity. The metal has risen to a high so far of $1666, …

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Fed surprises but is the 50 bp cut too early?

Did the Fed just cut interest rates because of the economic impact of the coronavirus or because of the recent slump in equity prices? Whatever the reason, supporters of Trump will claim that his renewed criticism of the Fed has done the trick. But make no mistake about it, the President will continue to call …

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Gold rebounds but more pain than gains likely

Gold and silver have both rebounded today, along with equity markets. But after last week’s big falls, more pain could be on the way for gold bulls than gains this week. As we reported the possibility earlier last week, safe-haven gold continued to head lower despite widespread concerns over the outbreak of coronavirus. However, I …

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Gold about to turn lower again?

With risk assets rebounding off their lows this afternoon, safe-haven gold, which has stopped going higher over the past couple of days, could turn lower soon. If it does, this is one of the ways to potentially trade it short: This is somewhat similar to the short gold trade that was taken on Tuesday, which …

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