Gold Bulls Cut Wagers on Signs U.S. Growth Quickens: Commodities Hedge funds lowered bullish gold bets for the first time in five weeks as signs of accelerating U.S. growth contributed to the longest retreat in prices in a month. Money managers cut their net-long position by 6.5 percent to 65,517 futures and options by July 30, U.S. Commodity Futures Trading Commission data show. Holdings of short contracts rose 6.8 percent, the biggest increase in six weeks. Net-bullish bets across 18 U.S.-traded commodities contracted 15 percent as investors cut wagers on higher crude prices for the first time in a month and more than doubled bearish bets on copper. The U.S. economy grew at a faster pace than previously forecast in the second quarter, the Commerce Department said July 31. Manufacturing expanded in July at the fastest pace in more than two years, and the unemployment rate dropped to the lowest since December 2008, government reports showed last week. Gold tumbled 22 percent this year as U.S. expansion prompted speculation the Federal Reserve taper stimulus. “The economy is healing, and if the economy is healing then it doesn’t require the assistance of the Fed,” said John Stephenson, who helps oversee about C$2.7 billion ($2.6 billion) at First Asset Investment Management Inc. in Toronto. “Whether tapering happens tomorrow or next year, it’s coming, and the market knows it.” bloomberg/news/2013-08-04/gold-bulls-cut-wagers-on-signs-u-s-growth-quickens-commodities.html
Posted on: Mon, 05 Aug 2013 00:29:04 +0000
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