Andrew Su
Compass Global Markets
GOLD prices are behaving just as we had expected this week after rising strongly through $1,350 overnight. We had initiated long position at both $1,280 and $1,320 over the past two weeks and although we have taken profit on some of these positions we remain long expecting further rises in both the short and medium term. A test of $1,400 is imminent. In interesting news, it appears that even whilst John Paulson, the billionaire hedge fund manager, was telling investors to own gold, he was reducing his holdings in the SPDR Gold Trust from 21.8 million shares at the end of the first quarter to only 10.2 million shares in the second quarter. It was the first time that his fund has reduced its gold holdings since 2011. According to filings with the U.S. Securities and Exchange Commission, George Soros sold his entire stake in the SPDR trust in the last quarter after liquidating 530,900 SPDR shares.
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