Gold price slides under pressure, but Barclays sees upside ahead - Mining.com.au

AI desk brief

Gold stayed under pressure just below US$4,200/oz as the US dollar hit an 18-month high ahead of US CPI on 14 October and PPI on 15 October, with markets pricing roughly an 80% chance the Fed holds rates this month and an 88% chance of a December hike. Spot gold was down 0.5% at US$4,174/oz and December futures also fell 0.5% to around US$4,200/oz; the metal is down 2.39% over the past month but still up 1.28% YoY.

Barclays’ Amos Fletcher remains constructive, saying gold is at fair value and looks attractive versus developed-market long bonds despite bond-yield and USD headwinds. The World Gold Council said gold fell 8.5% in September to US$4,176/oz, but global gold-backed ETFs still drew US$10bn of inflows, or 67 tonnes, signalling persistent investment demand.