By Afrasiab Mian, Zacks.com
Gold fell to a ten-day low Tuesday as fears that Brexit could occur continue to diminish.
The volatility of the public opinion in the UK continued to make itself apparent on Monday, as two new polls showed that the "Remain" movement had again retaken the majority position. Gold is negatively impacted by the less-risky option of Britain staying in the EU, and has seen a decrease on Tuesday as a result.
As seen on CNBC's quote , Spot gold (XAU) has fallen 1.5% and the SPDR Gold Trust GLD down 1.47% since the opening bell, reflecting investors' increased confidence in the "Remain" movement maintaining traction. Part of the allure of gold as an investment stems from its response to events that cause the value of stocks and bonds to decrease, of which Brexit is one. The aforementioned increase in confidence has boosted today's market, directly counteracting this supposed benefit.
As Macquarie analyst Matthew Turner points out, "Wider markets seem to be too confident" in a...