Inauspicious update below.
Gold hits more than 6-month low as dollar, equities recover
* Europe claws higher after China enters bear territory
* Dollar recovers from 1-week low amid rising trade tensions
* Palladium hits lowest since early April
Gold hit its lowest in more than six months on Tuesday as a sell off in global risk assets eased and the precious metal remained under pressure from the prospect that rising U.S. interest rates will further support the dollar....MORE
Modest gains from Europe’s main bourses relieved nervy investors on Tuesday, after the latest escalation in an increasingly global trade storm pummelled Wall Street and sent China into bear market territory.
Rising equities, seen as risky assets, tend to weigh on gold, seen as a safe haven.
The dollar strengthened on growing concerns about an intensifying conflict between the United States and its trade partners, particularly China. A stronger dollar makes dollar-priced gold costlier for non-U.S. investors.
“The dollar (has been) a lot stronger, that’s the main driver here. Also, gold hasn’t seemed to benefit from the (trade) turmoil, so I imagine that’s made some longs throw in the towel,” said Matthew Turner, commodities strategist at Macquarie.
“The question going forward is whether gold will show better reaction to these (trade) uncertainties. I feel it should, but you need to see a turn in the dollar, or some confidence the dollar is not going to keep going up.”
Spot gold was down 0.6 percent at $1,256.45 an ounce, as of 1019 GMT, having hit its weakest since mid-December.
U.S. gold futures for August delivery were 0.8 percent lower at $1,258.40 per ounce.
Gold-backed exchange-traded funds tracked by Thomson Reuters were headed for their weakest month since July 2017, as investors covered losses in equities, commodities and other markets caused by tariff disputes....
HT: Kitco who also report:
Money Managers Slash Bullish Positioning In Gold Futures
And the inauspicious update?
Invest in Kirin
Okay, the pseudo Japanese schtick is hard to maintain, much less in haiku format, so I'll outsource. Here's the inspiration for this iteration, Cassandra Does Tokyo from a few years ago: