Gold Longs Remain Resilient, Despite Oil Price Collapse
The price briefly dipped to $1660/oz last Tuesday before finishing the week on a firmer footing. Having cut their longs by 36% from the February peak hedge funds seems to be looking for a sustained breakout before adding further length. Investors using bullion-backed ETF’s have however continued to accumulate longs with total holdings continuing to reach new highs.
Silver Update
During the past two months silver has seen its net-long being cut by 80% to just 13.5k lots.
Silver Net-Long Positions Cut By 80%!
The combination of the global economic slump towards recession raising the risk of lower industrial demand and its often erratic trading behavior has sapped demand. It’s historical cheapness to gold and the risk of covid-19 related supply disruptions are currently two potential positives…
- Source, King World News, read more here
