Gold Futures: Short-term rebound in the offing

Open interest in gold futures markets shrank by around 2.3K contracts after four consecutive daily builds on Friday, according to preliminary readings from CME Group. Volume followed suit and dropped by around 127.2K contracts following three daily advances in a row.

Gold remains supported by $2000

Friday’s third consecutive daily drop in gold prices was on the back of shrinking open interest and volume, removing strength from further weakness and opening the door to a potential rebound in the short-term horizon. In the meantime, solid support for the commodity remains at the key $2000 mark per ounce troy.