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MKS’s Nabavi: Gold Eases On Long Liquidation

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Gold has eased on liquidation from traders disappointed the market couldn’t accelerate to the upside, says Afshin Nabavi, head of trading at MKS (Switzerland) SA. As of 8:33 a.m. EDT, spot metal was $5.85 lower to $1,315.95 an ounce. There does not appear to be any fresh news driving the move, Nabavi says. “The fact we didn’t break $1,322ish is bringing in some light liquidation,” he says. The market poked just above this but could not hold. Nabavi adds that soft U.S. economic data first thing Tuesday morning could limit further downside. U.S. housing starts fell 8.7% last month.

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

 

Commerzbank: Platinum ETF Holdings Hit Record High

Tuesday March 25, 2019 08:54

Holdings of platinum by exchange-traded funds have hit a record high but prices are not rising much, says Commerzbank. Analysts cite Bloomberg data showing that platinum ETFs posted inflows of 92,000 ounces Monday. “Platinum ETFs have thus registered inflows of 220,000 ounces since the start of last week and of 600,000 ounces since the beginning of the year,” Commerzbank says. “Yesterday’s inflow has put holdings at a record high, yet the platinum price has hardly reacted at all in recent months. Apparently the inflows are not being regarded as a sign of robust demand. Instead, it seems as if surplus material is being merely parked in the ETFs at present.” 

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

 

BMO: 'We Expect Volatility In The Gold Price This Week'

Tuesday March 25, 2019 08:54

BMO Capital Markets looks for volatility in gold in the near term. Analysts point out that the yellow metal hit a several-week high Monday amid economic-growth worries and recessionary concerns, with the yield on the benchmark 10-year Treasury note falling to its lowest level since December 2017. “Data continues to signal a slowing economy with the Dallas Fed Texas manufacturing outlook survey showing falling new orders and a decline in the shipment index,” BMO says. “With U.S. trade figures released on Wednesday, as well as jobless claims and 4Q18 GDP growth on Thursday, we expect volatility in the gold price this week.”

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