Another poor week for precious metals, with gold closing at USD $1246.50 on the PM fix, continuing a losing streak that's lasted for most of the month

Jordan Eliseo

Another poor week for precious metals, with gold closing at USD $1246.50 on the PM fix, continuing a losing streak that's lasted for most of the month. FOMC minutes obviously contributed to the weakness, and it has led to speculators cutting net gold longs to their lowest level in four months according to the CFTC. It's a similar story for silver, with net longs at a 3 month low. Sentiment is still overwhelmingly bearish, with even John Paulson now stating he wouldn't add to his gold position, although he didn't mention selling either and held onto his position from Q2. Was good to see Soros put some money to work going long gold miners too. Bears are still in control though and any positive US data this week, or rumours of tapering could see gold pushed lower, potentially testing the low USD $1,200 range in the not to too distant future


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