London

MOST precious metals analysts say that the strong US dollar has pushed gold down to a 2018 low of US$1,175 an ounce. Another key reason, however, has been a massive increase in bearish positions on derivative exchanges.

Latest figures by the Commodity Futures Trading Commission (CFTC) on Aug 8 show that net gold shorts - bear positions in futures and options on US derivatives exchanges - totalled a record 109,402 contracts.