Gold Prices Reflect Nervousness Over Government Shutdown

(Kitco News) - The markets continue to reflect nervousness about thepossibility of a government shutdown at midnight tonight. The rhetoricratcheted higher overnight as Democrats continue to demand a deal on DACA aspart of the funding extension. Dollar selling accelerated and gold pushedhigher before the Asian close. Volatility will increase throughout the day andtraders are likely to go into the weekend long as a “just in case” trade. It isdifficult to put a true value on the overnight move when it is predicated on ahedge bet. A funding agreement could reverse the move quickly but there is alsoconsiderable upside should the Federal government shut down. Place your bets.

By Peter Hug

Contributing tokitco.com

Follow @KitcoNewsNOWnewsfeedback@kitco.comwww.kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

Bullish bankers and bearish institutions split on gold forecasts

Gold stocks down on flat metal price and mixed equities

Snowline Gold reports Initial Resource Estimate

Inflation subsiding and rate cuts starting internationally

Inflation rebound continues to reverse