Hedge funds boost bullish gold wagers to 16-week high

Money managers increased their bullish wagers on gold to the highest since October as anxieties over Greenland prompted investors to rotate into hard assets away from currencies and sovereign bonds.

Hedge funds and other large speculators increased net-long positions by 1.9% to 139,162 contracts for the week ended Jan. 20. The level was the highest in 16 weeks, US government data showed Friday.

Growing uncertainties over trade, geopolitics and monetary policy have fueled investor demand for precious metals including gold and silver. And gold’s rapid advance to near $5,000 an ounce this week was boosted by a rift in Washington’s relations with European allies.

(By Yvonne Yue Li)