Correct - the gold price is very much tied to real treasury yields, with the 10 year yield minus nominal inflation in a strong (not perfect) negative correlation with the USD gold price.
Yields are trending up, and have been for a few months now. That is bad for gold, but also bad for the US Treasury, which has an awful lot of debt to repay. Google Yield Curve Control - if that were to occur (many commentators believe it to be likely), it could very well be great for gold.
As I said: "in a macro environment where not too many dominos would have to fall in our favour for the gold price to continue its ascent and potentially reach new highs".
But like @RoyE I'm not one for back and forth, so that'll be it from me. It's still a good idea to update your sentiment.
Good luck to you, and GLTAH.
Correct - the gold price is very much tied to real treasury...
-
- There are more pages in this discussion • 9 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)