Gold
Gold could not hold on for too long above the 1,320 $/oz mark it reached mid-April and has been trading considerably lower for the past two weeks. Last Thursday the metal dropped to its 2 ½ month low of 1,268 $/oz; this morning we were trading at 1,302 $/oz. Though the crisis in Ukraine and the tensions between Russia and the West continued to escalate, gold could only find limited support from it. Yet, this still remains a factor for short-term impulses and reactions to changes in the situation are to be expected. The presumption is, however, that meanwhile these events have been to a good extent already priced-in. Physical demand remains cautious. The sales figures so far from the US Mint for April were 31,500 oz; month-on-month compared to previous year a minus of over 80%. Based on this demand from “small investors” is similarly weak as that of institutional investors: ETFs have been recording daily net outflows. (Read more...)
