While spot gold tumbled the most it has in seven years on Tuesday, the commodity whipsawed on Wednesday.
According to Business Insider, spot gold dropped as much as 2.6% below $1,900 per ounce before gaining as much as 2% through the morning.
Analysts had been warning of gold turning overbought. However, some now view Tuesday’s plunge as too steep. T
A popular gauge of gold exchange-traded fund volatility, Cboe’s GVZ index has nearly doubled over the past month.
Saxo Bank commodity strategy head Ole Hansen said the growing interest in gold among retail investors could boost prices back above $2,000 per ounce.
