Wall Street looks for gold’s downward momentum to continue next week, while Main Street voters are in a near dead heat on whether gold will rise or fall.

 

 

Phil Flynn, senior market analyst with at Price Futures Group, said gold remains vulnerable.

“Gold can’t get a break,” Flynn said. “Even with the expected Fed rate hike, the dollar soared on strong U.S. economic data. The [gold] market broke out to the downside, leaving it vulnerable for further losses next week.”

Kevin Grady, president of Phoenix Futures and Options LLC, sees potential for December gold to retest the August lows below $1,168 an ounce. He cites the combination of tightening of monetary policy by the Federal Reserve and 10-year Treasury yields above 3% re-exerting pressure on gold after the metal seemed to find “fair value” for a while near the $1,200 area.

Meanwhile, George Gero, managing director with RBC Wealth Management, looks for gold to bounce next week since the “negatives [are] already priced in,” with potential for short covering and bargain hunting.

Reference: Kitco

Read More: http://www.kitco.com/news/2018-09-28/Wall-St-Bearish-Main-St-Split-On-Gold-Prices.html