Hedge Funds and Money Managers Increase Bullish Bets on Gold
Hedge funds and money managers have significantly increased their bullish bets on gold, with their net-long positions in US bullion futures and options reaching the highest level in four years. This surge in bullish sentiment comes as the price of gold has been hitting a series of peaks.
According to data released by the Commodity Futures Trading Commission on Friday, these investors boosted their net-long positions by 13% in the week ended April 2, marking the highest level since 2020.
Fueling Factors Behind the Bullish Sentiment
One reason behind the increased bullish bets on gold could be the uncertainty in global markets due to geopolitical tensions, economic uncertainties, and the ongoing COVID-19 pandemic. Gold is often seen as a safe haven asset during times of volatility and uncertainty, which may be driving investors to increase their exposure to the precious metal.
