GOLD HAMMERED ON RUMOUR OF A DELAY IN BREXIT REFERENDUM

The last two days certainly have been both exhilarating for gold bulls and bears.

First the Fed decided not to raise rates which sent gold to its highest in one year. Then as the tragic assassination of a British MP unfolds, rumour spread that the BREXIT referendum will be delayed and the algos took over, smashing gold down by more than $30 per oz.

If anything it just shows how on edge the market is over BREXIT. Tragic at it was the Pound and stock markets surged.

While the gold and silver momentum has been slowed, it does not hide the fact that the world is heavily indebted with diminishing growth prospects, with pockets of crisis everywhere, and the US$ will continue to weaken as the Fed will unlikely to raise interest rates going into 2017.

All these will continue to support the price of gold and silver in the medium to long term, We just have to look beyond the present noise.

I believe as the British will re-assert themselves on the referendum, I am sure gold and silver would move back into positive territory.

Meanwhile, my condolences and sympathy go to bereaved family of Jo Cox.