Positive comments on gold forecasting this morning, from Angus...

Positive comments on gold forecasting this morning, from Angus Geddes CEO FatProphets - below. Not that gold price will influence PDI at this stage, but soon we will be over the hump (exploitation permit) & buoyant gold prices will progressively affect PDI's share price. Good luck to all holders.

Gold continues to consolidate above key support, accompanied by profit-taking across the precious metals sector. This is corrective following a big run to the upside this year. A stronger US dollar has weighed on gold in recent weeks as rate-cut expectations were pushed out. When it becomes clearer when the Fed will commence easing, gold, precious metals, and commodities, including copper and oil, should reassert.

Gold has consolidated, whilst outflows from physical gold ETFs have continued. Retail and institutional investors have sold out and switched to sectors such as tech and AI. However, the outflows have been balanced by central bank and other deep-pocket buying. China was notably absent in the gold market during May but could soon return. Other central banks and nations have followed closely what has happened with the billions of Russian cash and deposits that were frozen and are now being funnelled to Ukraine. Current corrective price action should, therefore, be construed as “a consolidation phase”, with the next upward leg being driven by a return of investors in the West.