Gold Rally Was Becoming 'Unsustainable,' Saxo Bank Says

Bloomberg Published Updated Economy
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Why it matters

Saxo Bank's commodity strategy head, Ole Hansen, believes the gold rally has become unsustainable and parabolic, leading to a selloff, but still advises keeping an eye on gold due to central banks' continued buying.

Expected market reaction

Bearish Confidence 80% How confidence is read Horizon: Short term Impact: Moderate

Market impact analysis based on bearish sentiment with 80% confidence.

Evidence trail

Evidence
Source Bloomberg
Claim Gold Rally Was Becoming 'Unsustainable,' Saxo Bank Says
AI inference Bearish · 80%
Generated 2026-02-02 07:55

AI provenance

Analysed by Llama 3.1 8B Instant (Groq) Methodology v1.0 Generated
Technical identifiers
Provider tag
groq-llama-3.1-8b-instant
Analysis version
groq-llama-3.1-8b-instant
Article id
40188

Original source

Ole Hansen, Saxo Bank's commodity strategy head, discusses the precious metals selloff as gold extended losses after its biggest plunge in more than a decade on Friday. Speaking on Bloomberg Television, Hansen says the rally was becoming "parabolic and unsustainable." He adds markets should still "keep and eye on" the yellow metal as central banks "will not stop buying gold." (Source: Bloomberg)

Read the full article on Bloomberg

Original article published by Bloomberg on February 2, 2026. Analysis and insights provided by AnalystMarkets AI.

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