The worst for gold may be over: Bank of America Merrill Lynch

In a note to clients Monday, metals strategist Michael Widmer notes how gold prices GCQ4 -0.15% have stabilized this year thanks to steady physical demand from emerging markets — China and India absorbing mine and scrap supply — which has helped compensate for investor selling. In the future, he says, that balance will sway in gold’s favor:

   “We believe that physical demand from emerging markets will gain further clout in the medium term as countries get more affluent, suggesting the worst may be behind the gold market.”

The worst for gold may be over: Bank of America Merrill Lynch