Hedge Funds Reeling From Gold Jump Have Five Charts to Watch

Biggest rally since June 2016 blindsides bearish hedge funds
Shorts could trigger squeeze; ETFs buying; dollar link frays

Inflation Will Drive Gold Prices Later in 2019, Says Fat Prophets' Lennox

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By Eddie van der Walt and Ranjeetha Pakiam

October 17, 2018 at 5:00 AM UTC

Updated on

October 17, 2018 at 4:25 PM UTC

This article is for subscribers only.

Hedge funds that doubled down on bearish gold wagers are facing a gut check.

The shiny metal is in the middle of a surprise advance, posting the fastest rally since the Brexit vote as a surge in haven demand combines with seasonal buying. The sudden snap of its unlucky streak -- bullion has declined every month since April -- blindsided fast-money investors, but that could be good for gold bugs.