Money managers are betting the best-performing commodity last quarter still has further to run.
by Megan Durisin
Even after a lacklustre March, money managers are betting the best-performing commodity last quarter still has further to run.
While gold futures have dipped from a 13-month high, hedge funds are the most bullish since January 2015. The precious metal posted its biggest quarterly advance in three decades as turbulent financial markets and ebbing global economic growth boosted demand for it as a haven.
Federal Reserve Chair Janet Yellen said last week that US central bankers should “proceed cautiously” on plans to raise interest rates because of risks from the global economy. London-based research firm Metals Focus expects investors to pour more money into the metal as policy makers keep rates low to spur growth. Higher prices are lifting shares of producers including Newmont Mining Corp. and Freeport-McMoRan.