There’s just no stopping the gold train still as the September month is really kicking off. However, it doesn’t appear to be that the time is here yet. The most notable of course being the shift in Fed pricing from US data. And there will still be another big one coming up this week from the CPI report on Thursday.
But for now, everything continues to fall into place for gold and it’s hard to imagine a sudden shift in many of the macro narratives that are playing out across markets.
Fed easing prospects, central bank buying, ETFs playing catch up, dollar disdain, and stagflation risks are all the more straightforward but yet very compelling arguments for gold to stay supported. And to start this month, even the technical picture is playing ball.
It’ll be interesting to see if the bulls can keep this up ahead of the usually strong seasonal showing in gold from December and January. Those are usually the two biggest months for the precious metal.
But as always the case, I will continue to preach that gold remains a buy on dips on any technical pullback/correction
