Will Fed Hawks Peck Gold?

From sunshineprofits.com

Although gold doesn’t have to suffer during the actual tightening cycle, the Fed’s hawkish turn is fundamentally negative for gold prices. Oh no, my worst nightmare related to the precious metals has materialized. In the June edition of the Gold Market Overview, I wrote: Of course, gold is not a perfect inflation hedge in the short term. If the interest rates increase or the Fed tightens the monetary conditions in response to inflation, gold may struggle. Actually, the start of normalization of the monetary policy could push gold downward, just as it happened in 2011. And indeed, the Fed turned hawkish in June. ... (full story)