Hedge funds slash bullish wagers on gold over Trump election win
Hedge funds and other large speculators boosted net-long positions by 11% to 197,362 as of Nov. 12, the lowest in 14 weeks.
Precious metals crashed steeply overnight with gold and silver hitting fresh lows, and the yellow shiny metal heading towards its worst quarter in decades with just a few trading days left.
Despite world stocks and bonds having a second day of big gains in Asia and Europe, investors continued Wednesday to dump assets used as a safety net in case central bank money printing went wrong or fuelled a spike in inflation.
Spot gold plummeted to its lowest since August 2010 at $1,223.54 an ounce and was down 3.8% at $1,227.86 an ounce at 6:30 am EST.
Silver futures fell even more sharply, more than 5%, down to silver’s lowest since August 2010 at $18.39 an ounce.
In terms of other precious metals, platinum fell 2.2% at 1,320.49 an ounce and palladium dropped 3.6% at $639.22 an ounce.
