| Given that the Diwali holiday is this week, ahead of the wedding season, Gold demand is expected to improve, potentially offsetting macro headwinds in the near term. However, buying needs to pick up materially to overwhelm the gold-negative external drivers, a report by Barclays said.
Broad risk reduction amid tumbling equity markets, the sharp decline in US 10y Treasuries, and weaker-than-expected US retail sales have fueled uncertainty and aided gold’s bounce. The gold-supportive macro environment has seen gold extend its gains above the $1200/oz mark as the dollar has weakened, the St Louis Fed discussed the possibility of further stimulus, and, importantly, demand picked up amid the seasonally strong period for consumption...............................................Full Article: Source
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