Gold strengthens on the back of a decline in global interest-rate expectations. Overall weaker growth and cooler inflation in many countries is indicating central banks are about to start cutting interest rates. This is positive for non-yielding Gold, which tends to appreciate when interest rates fall. Gold is trading in a mini-range inside the $2,330s and is showing a daily gain of around a quarter of a percent on Wednesday.
Gold short-term bearish but fundamentals solid – TD Securities Despite a firm fundamental backdrop supporting Gold, Ryan McKay, Senior Commodity Strategist at TD Securities is bearish in the short-term. “Trend signals in Gold are no longer unilaterally pointing to the upside, and in fact, CTAs have become modest sellers in the yellow metal amid the recent correction in prices.