Gold price is about sentiment on a societal level, not just among gold bugs. My rebuttal seeks to add layers to another analyst’s opinion, not express outright criticism.
Last Friday morning, nonfarm payrolls data came in much stronger than expected, knocking $20 off the gold price and dashing hopes of near-term Fed rate cuts.
Most people at the top of intermediate cycles, they've got the fear of missing out (FOMO), and that causes people to buy too early if caught in the beginning of the decline.
I believe there was a leakage in US May nonfarm payrolls last Friday. The excuse and guse of stopping gold buying by the Chinese central bank was just media hype.
Gold had a volatile week as the recent corrective period continues. But despite a huge overreaction on Friday to the job numbers the bull remains intact.
So fragile now is the state of the economy, the state of the stock market and the state of the world in many respects. Therefore Gold is the place to be!
