Gold Will Rally Once Stocks Stabilize

NEWS SUMMARY: Precious metal prices stabilized Thursday despite a stronger dollar. U.S. stocks rebounded from 3-year lows, led by the tech sector, as investor panic selling subsided.

 FX EMPIRE----"Gold futures are trading flat-to-lower shortly after the regular session opening on Thursday. The price action suggests investor indecision and impending volatility...Essentially, the volatile price action in gold this week has been fueled by the stockpiling of cash. Investors sought to hoard cash in unstable market conditions despite additional measures from the European Central Bank (ECB) to deal with the economic fallout from the coronavirus outbreak. So far investors haven't responded much to loads of stimulus from governments and central banks. These moves have been implemented to boost the economy when the virus is contained, however, they are having very little short-term effect. Clearly, investors want to see containment of the virus which means evidence that it has stopped spreading in the United States and positive movement toward a vaccine. At this time, no amount of credit and monetary stimulus can contain the virus, but it will make a difference later, once the economy starts to recover."