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Commerzbank: Gold ETFs Post Outflows So Far In February

Kitco News

Gold-backed exchange traded funds have posted an outflow so far this month, says Commerzbank. “Though the yellow precious metal is still holding its own above the psychologically important $1,300-per-troy-ounce mark, it is unable to recover significantly from its decline of recent days,” Commerzbank says. “The firmer U.S. dollar is presumably precluding higher prices. There have also been noticeable ETF outflows for some days now; holdings in the gold ETFs tracked by Bloomberg have been reduced by a good 17 tonnes since the start of the month.” Still, Commerzbank says gold should stay in “good demand as an attractive alternative investment and a safe haven, partly because there are after all numerous political risks.” The decline so far in February comes after global ETF gold holdings rose in January for fourth straight month, this time by 71.9 tonnes, according to World Gold Council data earlier this week.

By Allen Sykora of Kitco News; asykora@kitco.com

 

TDS: Gold Setting Up for Surge Higher

Friday February 8, 2019 08:00

TD Securities says gold appears to be in the process of creating a setup for a surge to the upside. “With traders' hands still shaking following the December carnage in risk assets, interest is growing in the yellow metal,” TDS says. “We still think the macro story suggests we're an inch too early for gold to take off just yet, but we see a setup being created on the horizon for massive flow to the upside. In fact, we estimate a break above the $1,335/oz range would lead to a significant round of long accumulation from the CTA [Commodity Trading Adviser] community.”

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