Gold investors seem to agree: Don't fight the Federal Reserve.
With the Fed's next policy meeting looming this week, hedge funds are exiting from gold. Speculators cut their bets on a bullion rally by the most in more than three months. Holdings in global exchange-traded funds backed by the metal are down from a three-year high in August and heading for the biggest monthly decline this year. Aggregate open interest in New York futures is mired in the longest slump since May.
Speculation is mounting that Fed officials, in a statement scheduled for release on Wednesday, will signal that higher U.S. interest rates are on the way. That's bad news for gold, which thrives as an alternative asset. Through Friday the metal had surged 24 percent for the year as the policy makers declined to raise borrowing costs. ...
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http://www.bloomberg.com/news/articles/2016-0...-gold-at-fas...
