Gold Futures: A deeper pullback is not favoured near term

Open interest in gold futures markets shrank for the second session in a row on Monday, this time by around 2.6K contracts according to preliminary readings from CME Group. Volume followed suit and dropped for the sixth consecutive session, now by around 12.6K contracts.

Gold now retargets $2000 and above

Gold started the week in a negative fashion amidst shrinking open interest and volume, which suggests that the continuation of the decline seems not favoured for the time being. Against that, bullion should retarget the key $2000 mark per ounce troy and beyond in the very near term.