Another possible catalyst for gold entering the back of the year is lingering debate surrounding how many times the Fed can raise rates this year (one more is what many traders are betting on) and in 2018 (three seems to be the bet there).

Traders of the Fed Funds futures contract are currently pricing in a nearly 41% probably of one more 25 basis point hike by the end of 2017, although there are several analysts that believe the Fed may not be able to hike rates any further this year unless we start to see economic data improve sharply and we start to see both wage and commodity inflation start to turn upward,” according to OptionsExpress.

For more information on the gold market, visit our gold category.

Tom Lydon’s clients own shares of GLD.

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