ProShares Ultra Gold (UGL), a leveraged exchange-traded fund designed to deliver twice the daily performance of gold bullion, surged 6.02% during Monday's trading session. The significant move highlights a sharp reversal in sentiment for gold-linked assets following a period of intense selling pressure.
The rally appears to be driven by a technical rebound in the underlying gold market, coupled with renewed investor interest in buying the dip after a recent sharp decline. Market analysts note that the fundamentals supporting gold have not changed, but the rapid price recovery suggests traders are capitalizing on oversold conditions and short-term momentum shifts.
Spot gold prices climbed above the $4,800 per ounce mark, recording substantial intraday gains as precious metals stabilized following one of their worst single-day performances in months. The rebound reflects active bargain-hunting support after gold's breathtaking roller-coaster ride over the past few trading sessions.
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