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Analysts note that gold's recent selloff has pushed the precious metal into bear market territory compared to its March high. December gold futures last traded at $1,643 an ounce, down 20% from its highs earlier in the year. Year to date, gold prices are down 10%. "The combination of ongoing risk-off impulses and repricing of Fed tightening risks is likely to keep the dollar bid across the board near-term. With the outlook for the rest of the world still worsening, the global backdrop continues to favor the dollar and U.S. assets in general," said currency strategists at Brown Brothers Harriman.
Lukman Otunuga, senior research analyst at FXM, said that while gold prices could move slightly higher in the near term, he expects the market to test $1,600.
Source: Loan Digest (loandigest.net)
Is it the same analyst that stated “Gold appears to have lost its role as a safe haven to the USD”?