Make Kitco Your Homepage

December gold futures already above $1,800 as investors wait for August gold to get there -- RBC Wealth Management

Kitco News

Editor's Note: Get caught up in minutes with our speedy summary of today's must-read news stories and expert opinions that moved the precious metals and financial markets. Sign up here!

(Kitco News) August gold futures are still waiting to trade above the $1,800 resistance level while December gold is already trading above $1,810 an ounce, says RBC Wealth Management managing director George Gero. “Continue looking ahead to $1,800 gold basis August most liquid contract open interest 382,000 as December Open interest 92,605 trades over $1,810,” Gero writes. Despite some short-term pressures, the long-term outlook remains strong for gold, he notes.  “Growing uncertainties, lower futures prices, but, offsetting low interest rates and increased food prices, better gasoline prices are temporary setbacks for gold. Additional coming stimulus adding to large debts, upcoming political headlines and economic headlines and pandemic worries have not changed longer term outlook,” Gero says. “Miners selling forwards for financing needs, profit taking by funds were met by longer term investors looking for bargains on dips.”

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.