(Bloomberg) After two months of a lackluster track record in gold, hedge funds finally backed away from bullish bullion bets just before the Federal Reserve drove the biggest weekly price drop in two months. Money managers cut their net-long position for the first time in six weeks, U.S. government data show. Prices slumped 1.8 percent last week after Fed officials said they are still considering raising U.S. interest rates this year, cutting demand for the metal as a store of value. More than $1.05 billion was wiped last week from the value of exchange-traded products that are backed by physical gold, the biggest drop since late July.
Hedge Funds End Run of Wrong-Way Gold Bets as Fed Sparks Decline
This entry was posted in Syndicated. Bookmark the permalink.
