No One Is Watching Gold, They Should – Investing.com

No One Is Watching Gold, They Should – Investing.com

This article was written exclusively for Investing.comGold had an ugly first quarter

The price is sitting near a midpoint

Digesting gains in all currency terms

Consolidation is not bearish

Stimulus is bullish - Watch for central bank buying

In August 2020, when hit its all-time peak at $2063 per ounce, the yellow metal was the hottest asset in markets. Gold reached an all-time high in terms last August, but it had been breaking records in other currencies since 2019.

When gold reached its peak, was below the $12,700 level. Since then, gold corrected, and Bitcoin moved almost five times higher. At the $1744.80 level at the end of last week, gold was $318.20 or over 15.4% below its high from less than one year ago.

Gold fell with the US bond market. In early August 2020, the US Treasury bond futures were at 183-06. Last week, they were below the 157 level, over 14.5% lower. Gold and bonds have been moving in lockstep. Higher interest rates have weighed on the yellow metal as they increase the cost of carrying gold and provide an alternative to gold. Moreover, the ascent of Bitcoin and digital currencies have attracted capital away from the gold market.

The gold