Gold prices under pressure due to the outflow of funds from ETF - Saxo Bank
gold Prices are under pressure due to outflows from exchange traded funds (ETF) backed by gold, and is currently trying to find a balance after a 6% correction over the last month, said Edgar Kuplis, Manager on work with clients of Saxo Bank.
this week after testing the level of 1 US $ 450 per Troy ounce, gold has played a bit of position and trying to gain a foothold at levels above 1 $ 460 per ounce.
"Despite the fact that the short-term prospects of growth of prices for precious metals remains uncertain, the market needs strong arguments to provoke a more aggressive sales," — said Cuplis.
Future prospects in the gold price will determine the news on the trade agreement China and the United States, as well as macroeconomic data.
"Despite the fact that the current market's optimism a bit excessive, we do not expect a serious growth in gold prices by the end of this year", — concluded Cuplis.
the December gold futures on the COMEX rose on Thursday to $ 10, or 0.7% to 1 473,40 dollars per ounce, after declining for four consecutive days. Quotes rebounded from a more than 2-month low. December futures for silver also by 0.7% to 17,028 dollars per ounce.
according to the Wall Street Journal, U.S.-China negotiations stalled on the question of agricultural purchases. Beijing reluctant to give a commitment of large purchases on the text of the agreement, while President Donald trump said that China has agreed to buy U.S. agricultural products a year at 50 billion dollars. The media also reported about the dispute over the tariffs: if China insists on the abolition of existing duties under the agreement, the US does not agree to that.