Posted on Oct 6, 2018 in
Forex Tips

Fundamental Forecast for Gold: Neutral
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Gold vulnerable to rising bond yields as the appeal of the precious metal fades
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The rout in US equities and other ‘risk-on’ investments may spur risk aversion
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Until markets come to terms with the changing landscape, the fundamental outlook for gold is uncertain
Gold Price Beholden to Fundamental Developments and Sentiment
Gold posted a modest rally this week, climbing from sub $1190 levels to enter into the weekend slightly above $1200. Despite the rally, the outlook for gold turned more uncertain than ever as rising bond yields and an equity rout jolted markets.
Gold Price Chart Hourly, October 1st- October 5th

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Typically, rising bond yields are a fundamentally bearish development for gold. The precious metal misses out on the benefit of rising rates and therefore as investors chase return, gold is cast aside.Article source: https://www.dailyfx.com/forex/fundamental/forecast/weekly/chf/2018/10/05/Gold-Price-Outlook-Complicated-by-Rising-Bond-Yields-and-Equity-Rout.html