Gold and Silver Bullion Highlights | 9th July

Gold prices dropped on Monday following their largest weekly increase in three months, as attention shifted to central bank acquisitions and European stocks. Bullion prices remained close to $2,359 per ounce following a nearly 3% increase last week. The World Gold Council reported that the People's Bank of China did not increase its reserves in June, marking two months in a row without any change. Although bullion decreased on Monday, European stocks reduced losses as traders processed the surprising outcome of France's snap election. Beforehand, investors were worried about a potential far-right takeover and the potential for significant policy adjustments.

In the most recent trading session, exchange-traded funds increased their gold holdings by 23,743 troy ounces, totaling this year's net sales to 4.26 million ounces, as reported by Bloomberg data. This marked the fourth consecutive day of increase. The buys were equal to $56.8 million based on the previous market price. The amount of gold in ETFs dropped by 5% this year to 81.3 million ounces, the most since April 22. Gold prices went up by 16 percent to $2,392.16 per ounce this year and by 1.5 percent in the most recent trading session. State Street's SPDR Gold Shares, the largest precious metals ETF, saw minimal changes in its holdings during the most recent session. The market value of the fund's 26.8 million ounces totals $64.2 billion. In the most recent trading session, ETFs increased their silver holdings by 489,145 troy ounces, which brings the total net sales for this year to 5.34 million ounces.

According to weekly CFTC data on futures and options, money managers have reduced their optimistic gold investments by 6,169 net-long positions to 178,541. The net-long position was at its lowest level of bullishness in over three weeks. Long positions decreased by 5,937 lots to 191,948 during the week ending July 2. The total of long-only was at its lowest point in over three weeks. Short positions increased by 232 lots to reach 13,407. The amount of short positions reached its highest point in over a month. According to weekly CFT data on futures and options, money managers have reduced their positive silver bets by 518 net-long positions to 32,472. Long positions decreased by 1,354 lots to 50,072 in the week ending on July 2. The total amount for long-only was at its lowest point in over 16 weeks. The number of short-only positions decreased by 836 lots to 17,600. The short-only sum reached its lowest point in over 15 weeks.

Key Perspective: Gold and silver prices are experiencing an increase in trading on the global exchanges today. Gold and silver prices are forecasted to fluctuate within a range before potentially increasing today. Gold prices stabilized following a significant drop on Monday, preceding important events such as the Federal Reserve chief's speech to Congress and US inflation data, which are expected to provide insight into future interest rate changes.