04.11.2015 - Gold analysis and forecast for Q4 2015
Gold prices came under selling pressure in the third quarter amid an unfriendly macro environment stemming from divergence between emerging market (EM) and advanced economies. Although we believe that this tough environment will continue to undermine gold prices in the fourth quarter, near-term appreciation is possible because of several potential tailwinds, including renewed interest in safe-haven assets amid heightened uncertainty, a more dovish Fed, and a strong seasonal period. Gold prices fell about three percent in the third quarter to a 2015 low of $1,078 per ounce, reflecting weak sentiment, but a recovery seems to have emerged since August, supported by factors including heightened uncertainty following the PBoC’s decision to let the yuan depreciate, lower Fed tightening expectations following the FOMC’s decision in September to leave rates unchanged and a pick-up in physical demand out of Asia due to seasonal patterns...............................................Full Article: Source
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