Gold, Silver Longs Ease as Inflation Concerns Rise

Key Moments

Investor Positioning Turns More Cautious

ING analysts Warren Patterson and Ewa Manthey report that investors have scaled back their bullish exposure to Gold, with managed money net long positions on COMEX showing a notable decline. The analysts highlight that market participants have become more cautious in their approach to the precious metal.

According to their observations, managed money net longs in COMEX Gold fell by 3,352 lots, bringing the total to 95,498 lots over the last reporting week.

Inflation Concerns and Energy Disruptions

The analysts connect the softer positioning in Gold to investor unease over inflation. They point specifically to ongoing energy disruptions in the Persian Gulf as a key factor weighing on sentiment toward the metal.

“Inflationary concerns amid the ongoing energy disruptions in the Persian Gulf have seen investor appetite for gold sour.”

Speculative Interest in Silver Also Retreats

The more cautious tone is not limited to Gold. ING notes that speculative interest in COMEX Silver has also been reduced over the same period, reflecting a broader pullback in precious metals positioning.

“In precious metals, managed money net longs in COMEX gold decreased by 3,352 lots to 95,498 lots over the last reporting week.”

“Similarly, speculators decreased their net long in COMEX silver by 2,183 lots to 8,863 lots as of Tuesday..”

Positioning Summary