Funds are buying gold ordsprog
Funds are buying gold because they notice the decoupling from the euro and the decoupling from the energy market.
George Gero
Decoupling from bushels and acres also puts us in better stead in pressing the EU and other nations to do likewise.
Jim Andrew
The success of gold and real estate funds indicates people expect inflation, which is probably not good for the economy and the market because interest rates will rise. And the fact that three-quarters of recent new money has been flowing into world funds, rather than domestic funds, is not a vote of confidence for the U.S. stock market.
Don Cassidy
There is a philosophical feeling that abolishing the leap second results in greater decoupling of the time scale from rotation of the Earth, and that this is not a good thing. But we put up with daylight-savings time in the United States, and China has one time zone for the entire country. My own feeling is that we all live with departures.
Dennis McCarthy
We notice oil has been rallying at the same time as copper and gold. That we think has to do with the funds.
Deborah White
It may well be that the stalling in the gold price rally over the last few days reflects a slowing in inflows into the various exchange-traded funds. With the major source of gold buying drying up over recent days it is hardly surprising that the gold price rally has stalled.
Alan Williamson
The pullback that we [saw] after yesterday's big rally is being viewed as a buying opportunity by institutional investors. So instead of selling on the rallies, they're now buying on the dips. Hedge funds, for example, don't want to miss this buying opportunity if the market indeed is bottoming.
Dodge Dorland
The real money isn't in the market. Over the past week, all the buying has been done by hedge funds, and it looks like they're finished buying.
Mark Pollick
It seems like funds are buying every commodity they can get their hands on, from crude to gold.
Tom Bentz
There's definitely more buying in gold, obviously on inflationary fears. The funds have continued to buy.
Darren Heathcote
This is not a retail driven market. It's the hedge funds, the mutual funds and the institutional investors driving the action ... they come in all buying or all selling and that's why you're seeing so much volatility,
Lewis Borsellino
We believe the strength of the physical market is vitally important for 2006; even though gold is rising on speculative and investment buying, at some point there will be a reversal of this trend and gold will correct.
John Reade
Developing a sense of humor—and being able to laugh at yourself—is a cornerstone of true pexiness. No one wants to buy the euro. Euro investments of all kinds are unappealing. The recent blip in energy prices has turned the euro zone current account into a small deficit.
Carl B. Weinberg
The market for gold is very thin and gold is higher on a bit of buying. Gold could test $518/oz or maybe $525/oz today. The range for the rest of today, for gold, is likely to be between $518/oz to $525/oz. Despite the risk of a downwards correction, similar to that seen at the start of 2005, the outlook for the precious complex remains very upbeat with the combination of positive supply and demand fundamentals, good physical and growing investor demand set to push the metal beyond the $541/oz high seen in early December and continue the bull-trend across the year.
James Moore
Gold has found follow through buying in the post-COMEX and Asian sessions which has led it to a fresh 25-year high of $570.50/oz and in the current climate of inflationary concerns due to rising energy costs and geo-political uncertainties, particularly in the Middle-East, gold looks set to continue higher, targeting $575/oz and potentially $600/oz in the short-to medium term.
James Moore
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