Société Générale analysts this week said the gold bounce is over, according to Business Insider report.
“A US military strike now looks much less likely with Syria having accepted Russia’s proposal for Syria’s chemical weapons to be given up for UN control,” they said. “We expect strong ETF gold selling to resume soon as Syria is no longer a bullish factor and US Fed tapering is likely to start at the September meeting … With US real bond yields sharply higher recently and geopolitical risks abating, investors are likely to resume large-scale ETF selling soon.”
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Full disclosure: Tom Lydon’s clients own GLD and SLV.