Gold is on track to close out its best quarter since 2016 after a rally catalyzed by a sharp rate cut from the Federal Reserve.
Gold stopped falling again this Monday, October 30 but still on the way close its best quarter since 2016 after a rally catalyzed by a sharp rate cut from the Federal Reserve.
Spot gold fell 0.2% to $2,661.90, below the all-time high of $2,685.42 reached in last Thursday’s session. It is heading for its best quarter since the first three months of 2016.
“The market right now priced in all the good news and there is also some hesitancy on the part of new buyers to get involved at these record levels“said Ole Hansen, head of commodities strategy at Saxo Bank.
Bullion has advanced almost 30% so far this year, reaching successive historical highs after the Federal Reserve’s half-percentage point cut last week and the stimulus measures announced by China last week.
Silver prices also rose following the good performance of bullionalthough some analysts warn that the rebound may fade.
“Overall, industrial demand continues to support silver. But we need stronger economic results in China, as well as other developed countries”said Soni Kumari, ANZ commodities strategist.
Source: Ambito
