With the conflict between the U.S. and Iran heating up again, we will likely see continued selling pressure. Wong said we need a catalyst for gold to break higher.
Oil prices got more realistic and rose and held above $91/bbl for Brent crude, and Goldman Sachs said prices could easily go above $120 if the Gulf chokepoint crisis worsens. It did.
Gold is therefore being pulled in two directions. It is attracting demand as geopolitical risks increase, but it is also contending with elevated bond yields and a relatively firm dollar.
Muflih Hidayat, about China's plan to replace Western "paper" pricing of gold -- derivative-based pricing -- with pricing based on trading of real metal in Shanghai and Hong Kong.
