Gold’s decade-long rally has been called into question lately as the Federal Reserve’s talk of possibly unwinding its four-year quantitative easing “experiment” has caused investors to tire of the yellow metal.
In addition to the QE unwinding, other explanations that have been offered include the relation between gold prices and Japanese government bond volatility as well as the general unwinding of dollar shorts as the U.S. shifts from an economy where consumption is funded by debt, to one where consumption is funded by income. We concern ourselves less with the theories behind gold’s decline and focus instead on the metal’s price/volume action.
Read more...
No comments:
Post a Comment