Gold edged lower during the Asian morning session, facing a potential technical pullback after nearby gold futures registered their largest percentage gain since March 2009 on Tuesday. Spot gold declined 0.1% to $4,941.38 per ounce. "In the near term, volatility is likely to remain elevated as the market continues to adjust its positions," said Ewa Manthey of ING in a research note. The commodity strategist noted, "In the absence of a major shift in macro fundamentals, we expect the recent sell-off to prove corrective rather than structural." Manthey added, "However, the speed and sustainability of any further recovery will depend on developments in the U.S. dollar, interest rate expectations, and overall risk appetite."
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