Gold seen at $ 1260 during April-June - StanChart
Suki Cooper, executive director, Precious Metals Research at Standard Chartered (StanChart), said in her latest note that gold prices are expected to rise in the second quarter this year, in response to global political uncertainty and pick-up in the Indian demand.
Standard Chartered forecasts gold will rise to $ 1,260 an ounce during the April to June period.
Key Quotes:
“Early Brexit negotiations and the French elections could boost prices, particularly given that markets do not expect a US rate hike in May and there is pent-up demand in India”
“Markets are complacent on political risk”
“Positioning is relatively light, suggesting significant scope for fresh safe-haven flows amid a surprise event”
“Swiss shipments to India firmed month on month in February, underscoring the provisional data and anecdotal evidence suggesting India’s appetite for gold improved after the Union Budget”
“The uptick in short interest suggests gold prices are likely to consolidate recent gains”
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
