Commodity Trade Mantra

Posts Tagged ‘Demand for Paper Gold’

Gold Price Driven by Massive Speculation in Paper Gold

Speculation in paper gold is both an effect of the gold price and an important short-term driver of the gold price. It is therefore fair to say that although changes in GLD’s gold inventory don’t cause anything, they often reflect changes in speculative sentiment that at least on a short-term basis do have a significant influence on the gold price.

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