Barclays expects volatility In Chinese financial markets to influence Gold

UNITED KINGDOM January 25 2016 10:30 PM    

LONDON (Scrap Register): Gold traders will be watching to  see if the volatility in Chinese financial markets so far this year continues,  said Barclays in a snippet.

The metal has staged a rally in the early  weeks of 2016, with global equities trending softer, much of it blamed on  developments in China.

As last week wound down, signs of stabilization  in China reduced the safe-haven demand, the British bank added.

“There  was limited macro and fundamentals news, with the market generally trading  within a $20 an ounce range of $1,075-1,095 an ounce,” said analysts at  Barclays.

Barclays expects the gold price to resume its gradual decline  if China volatilities remain contained.