Deutsche Bank highlights Gold rises to $4,100 region after a strong +5.06% weekly performance, its best since August. The bank attributes the move to risk-off sentiment from the AI-driven equity selloff and falling Oil prices. With equities under pressure and bond yields retreating, Gold benefited as a defensive asset in the current macro backdrop.
Safe-haven bid after equity turmoil
"Credit was actually fairly flat on both sides of the Atlantic but the risk-off tone in equities meant it was a good week for gold, which was up +5.06% (-0.42% Friday) in its best week since August."
"So along with the risk-off tone from the AI selloff, that helped to bring down sovereign bond yields around the world."
"Meanwhile, the 10-year US Treasury yield is up +1bps at 4.87% and Brent down around a percent as I type."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)
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