Gold Is “Coiled” and Looks Set To Surge Like Natural Gas — Bloomberg Intelligence | WHAT REALLY HAPPENED


Gold Is “Coiled” and Looks Set To Surge Like Natural Gas — Bloomberg Intelligence

Metals should be primary beneficiaries of an imminent greenback peak, with normalization in U.S. stock-market out performance, Federal Reserve tightening near a finish and the trade-weighted broad dollar approaching multiyear highs.

Though the dollar tops the list of this year’s best performing major assets, gold and copper show divergent strength. Industrial metals appear to be at a discount in a bull market with favorable demand vs. supply conditions.

Indications from precious metals, notably gold, offer a setup that’s similar to natural gas before its big rally.

Bound to historically compressed trading ranges with many typical pressure factors nearing multiyear extremes, precious metals appear close to a maximum loss of faith vs. the strong stock market and greenback.

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