Goldman Sachs tells clients: Stop shorting gold

Goldman Sachs has advised clients to stop shorting gold after the dramatic fall in the price of the precious metal over the last few weeks.

Reversing a call made about two weeks ago to short the commodity, Goldmans is now advising investors to close short positions after the gold price climbed back above $1,400. It said in a note to clients: "We have closed our recommendation to short COMEX Gold, as prices moved above the stop at $1,400/toz." The gold price dived to a low of $1,322 earlier this month, but it has since bounced, and today it was trading at $1,423 by 10:45am. Investors exited en masse in April, but the price has been declining steadily since last October when fears about the future of the eurozone prompte...