UBS precious metals strategist Joni Teves said gold investors may already be
looking beyond the Fed's next action. She expects markets have largely priced in
rate-hike expectations and will shift focus to other drivers: gold's role as a
diversification tool, continued official purchases, a seasonal demand uptick in
India and supportive Chinese investment activity. Teves sees likely near-term
volatility but increasing odds of further gains into year-end; a Fed hike in
September could prompt a reflexive pullback in gold but would not derail the
overall recovery.
