ScotiaMocatta Deems Gold Performance ‘quite erratic’ and Silver Vulnerable

Source:

Nevertheless, Scotia noted "there is good physical interest at the lower numbers, a seasonally strong period lies ahead, the funds and ETF buyers have been bullish in recent days and overall the dollar looks set to head lower as it continues to adjust to the global imbalances."

In their recently published monthly analysis "Metals Matters," Canadian bullion bankers ScotiaMocatta found that "gold's performance has been quite erratic and this seems to have unnerved investor confidence."

Nevertheless, Scotia noted "there is good physical interest at the lower numbers, a seasonally strong period lies ahead, the funds and ETF buyers have been bullish in recent days and overall the dollar looks set to head lower as it continues to adjust to the global imbalances."

"All of these factors should provide a bullish environment for gold," the analysts declared. "In time, we think gold will start to benefit once again from the growing uncertainty across the financial markets and as a hedge across dollar weakness."

Related Articles

Get Our Streetwise Reports Newsletter Free

A valid email address is required to subscribe