- MarketPulse - https://www.marketpulse.com -

Gold Drops on Take Profit Sales

Posted By Alfonso Esparza On In Commodities,Newsfeed | No Comments

Gold futures fell as a rally to a three-month high yesterday spurred selling.

Gold will probably trade in a range of $150 an ounce this year, as opposed to about $500 last year and $300 in 2012, said Bernard Sin, head of currency and metal trading at bullion refiner MKS (Switzerland) SA in Geneva. Prices yesterday climbed to the highest since Nov. 8 on speculation U.S. stimulus will boost the appeal of the metal.

“In the long-run, gold will behave like the euro, trading in a very narrow range,” Sin said by e-mail. “Speculative buying has been exhausted, and physical selling is kicking in.”

Gold for delivery in April dropped 0.2 percent to $1,292.10 an ounce by 6:26 a.m. on the Comex in New York after trading yesterday at $1,296.40. Volume was 15 percent below the average of the past 100 days at this time and silver futures were 16 percent behind, according to data compiled by Bloomberg.

Bullion for immediate delivery rose 0.1 percent to $1,292.60 an ounce in London.

via Bloomberg [1]

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza [6]

Senior Currency Analyst at Market Pulse [7]
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza

@alfonso_forex [8]

Follow @alfonso_forex [9]