Month-end flows unwind
Today's rebound in risk assets is a reminder of the power of flows. Month-end yesterday led to a series of mechanical moves and somehow gold was sucked lower in the selling.
Now it's rebounding in a powerful way, up $37 to $1814. As I wrote yesterday, there's a seasonal case for buying gold in December.
A close here would trace a nice three-candle reversal on the chart and there's fundamental tailwind as well with senators talking about a bi-partisan stimulus deal.
