menu-control
The Jerusalem Post
The Jerusalem Post: Business and Innovation

UBS: September didn’t scare precious metals market

 
 Will gold continue to rise in September? (photo credit: PR)
Will gold continue to rise in September?
(photo credit: PR)

In a month when gold has historically underperformed, September brought all-time highs despite the fears.

The beginning of September brought plenty of worrisome news for precious metals investors.

Heading into the month, during which gold has historically underperformed, investors mulled what to do with their positions as the yellow metal was already trading near all-time highs.

 Shown is a gold chart for the month of September. (Source: TradingView) (credit: PR)
Shown is a gold chart for the month of September. (Source: TradingView) (credit: PR)

It turns out, gold pushed past $2,600 an ounce and, so far, has been boosted 5% during the month.

UBS, in a note released Tuesday to investors, called the move “unseasonably strong.”

Where’s the pullback?

The analysts suggested that many potential gold investors are waiting for a pullback to enter the market. Still, the lack of price reduction has caused moves higher as investors chase the movement.

 “The market could use a breather,” the analysts said. “A period of consolidation at this juncture would be healthy for the market, especially if it allows some weak longs to be flushed out and for long-term investors to jump in at better levels.”

But there haven’t been any signs of that happening, and recent news on China’s stimulus package has pushed commodities prices to new levels.

UBS said it has found in conversations with “various market participants” that sentiment around gold is growing stronger, but noted that the sentiment has not yet been fully backed by positions.

Featured Partners (Ad)

Augusta Precious Metals

Fees:

$0 (10 Years)

Minimum:

$50,000

"Best Overall" by Money Magazine, Award-Winning for 6 Years, Thousands of 5-Star Rankings

Expand DetailsRenowned for its exceptional customer service and commitment to transparency, Augusta Precious Metals has garnered numerous accolades, including "Best Overall" from Money magazine and "Most Transparent" from Investopedia. The company's dedication to educating and supporting its clients has earned it top ratings from organizations such as A+ from BBB and AAA from BCA.

Goldco

Fees:

Vary

Minimum:

$25,000

Industry leader with over $2 Billion in gold and silver. Top rated precious metals company with buy back guarantee

Expand DetailsFrom Precious Metals IRAs to direct purchases of gold and silver, Goldco have helped thousands of Americans place over $2 Billion in gold and silver. TOP-RATED PRECIOUS METALS COMPANY Rated A+ by the Better Business Bureau Rated Triple A by Business Consumer Alliance Earned over 6,000+ 5-Star Customer Ratings Money.com 2024 Best Customer Service 2024 Inc. 5000 Regionals: Pacific Ranked #17 2024 Gold Stevie Award, Fastest Growing Company Inc. 5000 Award Recipient, 8+ Years

Birch Gold Group

Fees:

Vary

Minimum:

$10,000

Since 2003 BGG served over 32,000 customers. A+ rating with BBB, AAA from BCA & has multiple celebrity endorsements

Expand DetailsBirch Gold Group is a leading precious metals dealer established in 2003. They empower customers with education and prioritize customer satisfaction. Their experienced team offers gold, silver, and other metals for investment and IRAs. With a strong reputation (A+ BBB rating) and focus on personalized service, they aim to be your trusted partner in securing your financial future through precious metals.

This article is for informational purposes only. The opinions and analysis herein are those of the author and are not financial advice. The Jerusalem Post (JPost.com) does not endorse or recommend any investments based on this information. Investors should consider their financial situation, investment goals, and risk tolerance before making any decisions. Consulting a qualified financial advisor is recommended. JPost.com is not liable for any investment losses from using this information. The information provided is for educational purposes only and should not be considered as trading or investment advice.

×
Email:
×
Email: