....the inverse correlation between Gold and the 10 yr yield has been consistently the case
if you look at the 6 month charts below
23 Oct 23- 28 Dec 23 10 yr yield moved DOWN from 4.98pc to 3.80pc
Gold moved UP from $1974 to $2077 over the same period
28 Dec 23-23 Feb 24 10 yr yield moved UP from 3.80pc to 4.35pc
Gold moved DOWN from $2077 to $2025 over the same period, but only just
23Feb 24 -11Mar 24 10 yr yield moved down from 4.35pc to 4.07pc
Gold moved UP from $2025 to $2177 over the same period, but noticed in the earlier up move of the 10 yr yield by just 0.55pc, Gold went lower by just $52, this time yield went down by just 0.28pc yet Gold went up by $152
11Mar 24-11Apr24 10 yr yield moved UP from 4.07pc to 4.55pc
Gold also went UP from $2177 to $2335
What happened? 10 yr yield went up by a whopping 0.48pc , yet Gold shot up by $160!
This positive correlation has broken down conventionally held relationship and suggest that this is a game changing shift.
..and it is not driven by either instos, ETF nor retail, the big buying is largely via central bank purchases and Asian buying.
..and this demonstrates that Gold is amazingly bullish and I think the markets (especially in US and EU) have not woken up yet to this SHIFT.
..this underscores the shift in my sentiment towards Gold and Silver.
