Gold Remains Range-Bound As Geopolitical Lifts Tend To Be Temporary

London (Aug 11)  Gold remains range-bound as any lifts the metal gets from geopolitical factors tend to be temporary, says MKS (Switzerland) SA. The metal initially surged ahead of the weekend on news that President Obama authorized U.S. missile strikes in Iraq, but gold later pared its gains. It has been in a narrow range so far Monday. “So far this year, there have been a number of instances where heightened geopolitical risks have prompted spurts of aggressive buying; the problem is these boosts have been consistently temporary,” MKS says. “Much of that is reflective of an ongoing short-term attitude by gold supporters and general lack of interest in precious metals as an investment proposition overall. For now, the yellow metal looks set to remain within the broad $1,280-1,325 range it has carved out for itself over the past month, with fast money and intra-day specs looking to fade moves at both ends of that spectrum.”

Source: KitcoNews