The SPDR Gold ETF (GLD) surged 5.67% during pre-market trading on Tuesday, marking a significant rebound for the precious metal fund after a period of extreme volatility in the gold market.
The sharp upward movement was driven by strong bargain-hunting activity as investors sought to capitalize on lower prices following a historic selloff. Positive U.S. manufacturing data that exceeded expectations supported broader risk appetite, while market participants continued to assess the implications of Federal Reserve policy uncertainty following the nomination of a new chair.
Despite recent volatility, underlying demand fundamentals for gold remain robust, with continued central bank buying and long-term hedging needs against currency and geopolitical risks providing structural support. Major financial institutions maintain bullish outlooks on gold, viewing the recent pullback as a technical correction within a longer-term uptrend.
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