Wed, Aug 27, 2014, 10:09 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Analog Devices, Inc. Message Board

  • dannynguyen76 dannynguyen76 Apr 23, 2013 9:58 PM Flag

    Goldman: It's time to close out those gold shorts

    NEW YORK--Goldman Sachs Group Inc. GS +2.45% on Tuesday closed its recommendation to "short" gold, telling clients to exit bets on lower gold prices.

    The bank had told its clients to bet on lower gold prices April 10, slashing its short- and long-term gold forecasts as prices dangled above bear-market territory at $1,588.30 an ounce.

    At the time, analysts Damien Courvalin and Jeffrey Currie told clients that "should our expectation for lower gold prices continue to prove correct, the fall in prices could end up being faster and larger than our forecast."

    On April 12, gold embarked on its worst two-day plunge since futures first started trading in New York.

    As a result, Goldman said its team exited the trade "significantly below our original target of $1,450/oz" for a potential gain of about 10%.

    Now, as prices rebound above $1,400, the team recommends its clients close out their bets on lower prices for the moment.

    "Our bias is to expect further declines in gold prices on the combination of continued ETF outflows as conviction in holding gold continues to wane as well as our economists' forecast for a reacceleration in U.S. growth later this year," they said

 
ADI
51.025-1.185(-2.27%)Aug 27 4:00 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.