06.11.2015 - Gold ETF pivots around Fed expectations
If US jobs data cement expectations for a December rate rise by the Federal Reserve, then keep an eye on gold. The chart below shows how SPDR Gold Shares (GLD), an exchange traded fund that tracks the precious metal, has been following CBOT two-year US government note futures of late. As two-year futures fell, and short-term Treasury yields hit fresh four-year highs, so the GLD dropped sharply. The correlation shows that bullion remains very sensitive to the prospects of higher rates that are of course boosting the dollar...............................................Full Article: Source
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