Gold is more than ‘a tactical expression of the next Fed decision’ and pullbacks are opportunities to ‘build strategic exposure’ – UBS - KITCO
Gold is more than ‘a tactical expression of the next Fed decision’ and pullbacks are opportunities to ‘build strategic exposure’ – UBS - KITCO
Source: KITCO
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DW NOTE
UBS is describing gold as a strategic hedge against Fed-blind macro risk — the Strait closed, deficits at $1.8 trillion through July, and oil up 48% year-over-year while the Fed held rates at 3.65% through July. Gold fell 16.7% from its January high not because the risks receded but because markets priced two quarters of no immediate crisis. The risks are still there; the discount is the opportunity.