XAU/USD: Gold risks remain to the upside (ING)

ING still anticipates a rise in gold prices in the long term, despite the current downward pressure.

"Gold's fundamental indicators remain intact. We expect physical gold demand, geopolitics and inflation to support this yellow metal.

Long-term buyers should establish a gold floor, even though active portfolio managers are selling in the short term.

The flattening interest rate curve, deficits, elections and trade may highlight political uncertainties in the United States and weigh on the dollar. This would strengthen our bullish view of gold as we anticipate a sharp rise in inflation this year."