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‘The gold bug ain’t dead’ — TD Securities

Kitco News

Investors remain interested in gold despite the U.S.-China phase-one trade deal and a Brexit roadmap, according to TD Securities. “We've now scratched off many of the worst-case scenarios in just a few weeks, but the gold bug ain't dead,” write strategists at TD Securities. “A stark improvement in sentiment is being led by the Fed, which readied a massive boost to liquidity into year-end, while the US-Chinese administrations have also negotiated a trade deal which leads to the removal of tariffs, and a roadmap for Brexit was drawn.” Market participants are projecting for the Federal Reserve to either remain on hold in 2020 or cut rates further, which is keeping gold supported, the strategists add. “Gold has maintained its luster because the Fed's reaction function remains asymmetric, which suggests they will either cut rates further if growth disappoints or stay the course if growth recovers, ultimately pressuring real rates further in either case. This lends strength to the view that gold will continue to bounce higher through 2020.”

By Anna Golubova of Kitco News;


Palladium eyes $2,000 mark — MKS PAMP Group

Tuesday December 17, 2019 11:40

Palladium is eyeing the $2,000 level after hitting a new record high $1,998.43 earlier in the day. “Once again the action was in the PGM’s and particularly Palladium, which managed to pull back all the losses from Friday, post a fresh all time high,” MKS PAMP Group writes. “Supply concerns have kept the metal buoyant (same with Pt), and underlying demand appears to be in good shape still on pull-backs.” The next psychological level to breach for palladium is $2,000. “We look set for an imminent test above $2,000, but we feel there will be some good supply above there from the spec community,” MKS adds.

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