Why did gold turn lower?

2 Ağu

We have seen a big drop in bond yields in the aftermath of the US jobs report which disappointed expectations. So, in theory gold should head higher and remain supported on the dips. But if stocks continue selling then forced liquidation of leveraged long trades could impact gold negatively. I think that's partly what happened after gold initially rallied earlier today. Still, the downside should be limited. I still think we could see new all time highs.

By Fawad Razaqzada, market analysts FOREX.com