Gold Price tested below $1,700 at the end of the week. Economists at TD Securities expect the yellow metal to remain under pressure in the weeks to come.

Money managers aggressively cut their net long gold exposure

“Investors cut net length by a very large 6% of open interest (3 million oz) as it became very apparent that real rates on the short end of the curve will continue to increase and there was little chance of upside, as nominal policy rates jumped higher and inflation expectations eroded along with the pending economic slump.” 

“Continued Fed hikes and less economic activity should see gold length continue to erode, with prices also likely to remain under pressure in the weeks to come.”