Fear Is Back From Vacation, As Gold Nears $1,300 Says Bubba Horwitz

By Kitco News / June 05, 2017 / www.kitco.com / Article Link

Jun 06, 2017 Guest(s): Todd 'Bubba' Horwitz Chief Market Strategist, BubbaTrading.com

Gold prices ended the U.S. day session solidly higher and hit a seven-week high Tuesday. Prices are within easy striking distance of the key $1,300 mark. Meanwhile, silver prices notched just a five-week high but remain in a near-term uptrend. August Comex gold was last up $14.80 an ounce at $1,297.40. July Comex silver was last up $0.114 at $17.695 an ounce. 'Fear has been on vacation but is starting to show warning signs: gold held $1,260 and is now pushing $1,300,' explained Todd 'Bubba' Horwitz of bubbatrading.com. 'Treasury bonds are pushing higher along with silver; bitcoin could also be considered a fear play. Like all markets before, greed will end and fear will be in charge and those who ignored the warning signs will wonder what hit them,' he told Kitco News. There is some risk aversion in the marketplace this week, ahead of potentially market-moving happenings later this week. Such is benefiting safe-haven gold, as well as U.S. Treasuries and the Japanese yen. On Thursday, there are general elections in the U.K., a European Central Bank meeting, and former FBI director James Comey testifies to the U.S. Congress. Next week, the Federal Reserve meets, at which time it is expected the Fed will slightly raise U.S. interest rates.

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