Are gold markets worried about the US budget deficit? Over the...

Are gold markets worried about the US budget deficit?

Over the last 2 decades, the US Debt-to-GDP ratio and gold have been directly correlated.

As the US Debt-to-GDP levels increased, so have gold prices.

Since late-2023, US debt has been increasing at the historic pace of $1 TRILLION every 100 days.

At the same time, gold has returned ~20% making it one of the best performing assets of the year.

The CBO estimates that US Debt-to-GDP will hit a new record within 3 years. We are on an unsustainable fiscal path.

https://x.com/KobeissiLetter/status/1781799443123085540