The leveraged gold ETF Leverage Shares 2x Long Gold ETP (07299) fell nearly 2%. At the time of writing, it was down 1.95% to HK\$21.12, with a turnover of HK\$12.8536 million.
On the news front, as of June 23, the spot gold price fell below \$4,100 per ounce, hitting a new low in nearly two weeks.
It is noteworthy that since gold entered a downward trend, several investment banks including Morgan Stanley, JPMorgan, and Citigroup have successively lowered their gold price targets. Among them, Citigroup has cut its short-term gold price target twice within a month.
Morgan Stanley believes that after expectations for Federal Reserve interest rate hikes intensified, the yield on the U.S. 10-year inflation-protected Treasury note has risen significantly above levels seen in February this year. This has directly led to net outflows from gold ETFs and has become one of the key reasons for the recent pullback in gold prices.
Deutsche Bank noted that the persistent capital outflows from the gold ETF market indicate that this factor, which traditionally supports gold prices, is "clearly absent."
Analysts at UBS pointed out that the downside risks for gold have increased significantly. They expect the timing for price realization may be delayed, and the current consolidation cycle for gold prices will continue, presenting greater uncertainty.
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