Sov bonds are under pressure. The CBs are probably the only buyers - Big banks have palmed theirs and put the $$$ into corp bonds and junk so they can do it all again. Soon, CBs will be expected to swap these bonds onto the balance sheet? And then that money goes to where? Inflating everything along the way and then passing it to CBs? In effect, CBs are inflating the amount of money for use by the big banks. Those banks are then using that money to invest/speculate/support markets inflating any assets they focus on. God knows they should be lenders but those days are over. As they dont go near gold, its hard for gold to go up but the ETFs and derivatives can. The creators of these products may see them come back to bite them if investors pour into paper gold, pushing up the price and creating a demand for gold via physical backing. With the tiny size of the gold market compared to the amt of fiat out there, it is in the CBs interest to continue backing other assets and making sure they go up during this time of uncertainty otherwise people would turn to gold. Still, with the POG at highs even with concerted CB asset price prop up, id say there is demand for gold but currently everyone is in this stock market "v shaped" recovery, so that demand is muted. If that changes and demand increases for gold, it wont take much to test its ATH imho.
