Where's The Gold Rush?
By Skyler Greene:
As I discussed yesterday in Silver: What Gives?, the gold market's recent reactions are somewhat puzzling. Gold (SPDR Gold Trust ETF: GLD, Sprott Physical Gold Trust: PHYS) should theoretically be acting as a "safe haven" and tracking somewhat with Treasuries, yet as of late it's been playing possum. (As in, it's kind of just laid around.) On days like yesterday when the market sharply drops, gold is rapidly sold off, yet on good days for the market, gold doesn't always respond in turn.
(click to enlarge)
Gold Price in US Dollars
The recent price action is somewhat confusing and has some analysts saying that gold is "on the edge of a violent downturn":
Gold is on the brink of a "violent downturn" and could even fall as low as $700 an ounce as the risk of deflation in developed economies grows and technical pointers turn bearish, oneComplete Story »