Central bank behavior and gold trading

Gold has had a complete turnaround after reaching highs well above $5,000 an ounce. So, what was going on? One clear indicator is that central banks have cut their gold purchases. Central banks have not been viewed as profit maximizers, but the high prices in the first quarter may have been too much, and they took a step back from the market. The other profit-maximizers may have had the same view,…