Deutsche Bank: Gold looks 25% overvalued - BBG

In an interview with Bloomberg TV, Deutsche Bank AG Chief Global Strategist , Binky Chadha, noted that yesterday’s steep drop in gold prices could be a prelude to a bigger sell-off.

Key Quotes:

"The way we think about it is, gold looks to be 20 to 25 percent overvalued"

"Positioning is very, very long"

"(Gold) did extremely well in the first quarter and that's when gold got very overvalued and was really part and parcel of the global growth of your trade. But unlike everything else, that actually got unwound" 

"I would argue it's more likely a tick-up in U.S. growth on which we remain constructive and therefore global growth"