Asset managers believe that gold is still a lot of space for growth. Last quarter, the metal showed better dynamics when compared to other asset classes - based on AMarkets.
March, however, was not very - Gold fell to a 13-month high. However, hedge funds are currently set as much as possible on a bull - recorded record volume growth rates for January 2015. Metal has shown a powerful breakout quarter for the last 3 decades on the background of the increased turbulence in the stock market and weak global economic growth.
Investors are increasingly aware that the monetary policy of leading central banks is very little effective - rates fall, there is no inflation, many other indicators do not reach the desired level, which controls explicitly calculated.
In the week that ended March 29 hedge funds increased their investment in gold futures by 2.1% to 164,946 contracts - COMEX data. Asset managers built up bullish bets on gold for three of the last four weeks.