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The real interest rates should remain low, so gold prices shouldn’t drop like a stone. Actually, in the longer run, when inflation creates some economic problems while the economic growth slows down, the yellow metal could finally benefit from the stagflationary conditions.

Like many fixed-income securities, the gold prices are completely detached from supply and demand. The mechanism for determining prices is distorted by ‘tools’ that enable the monetary authorities to alter the perception of their inflationary monetary policies.

As sympathetic as the Wall Street Silver movement is and as effective as it is in drying up the retail supply chain, it is the Basel III rules that will revolutionize the silver wholesale market and the global demand for photovoltaics, which is going to push prices upward at the end of 2021 and more so next year

With the foregoing risks at play, the best tactics for the current economic pitch involve longer-term preparation, a respect for historical lessons and a fundamental recognition that further and inevitable monetary and fiscal expansion can only mean further currency debasement and hence the longer-term re-pricing (i.e., rise) in gold valuation.

There are two dimensions to the global de-dollarization that is taking place: a digital one, and a golden one. Let it be noted that China, as the primary initiator of CBDCs and the number one consumer and importer of gold in the world, has every chance of doing well out of this Great Game.

It seems that gold is reacting now more to the decrease in the bond yields rather than to the changes in the US or EU monetary policies. As long as the interest rates are declining, gold is catching its breath. But this decrease may be temporary, so better watch out! Powell’s testimonies to Congress next week could provide us with more clues about gold’s outlook.

Banks clearing gold trades in London can apply for an exemption from tighter capital rules due in January 2022, a British regulator said on Friday, removing what some said was a threat to the functioning of the market.

The American and European central banks - the Fed and the ECB - would have us believe that they will be able to raise their key rates when the time comes. In reality, they will have to choose between several crisis scenarios.

In the last few weeks, gold has not followed the curve of the rates and there is now a decorrelation between the 10-year rates and the gold price. Since 2009, the two indices have been following one another fairly closely, and the latest gaps between the curves of these two indices have always been sealed at a short maturity in the past. The last time the rates were at this level, with a dollar as weak as this, gold was at around $1950, meaning that there is fairly sizeable potential for a further rise for gold if this catching up were to take place.

Russia’s sovereign wealth fund cuts US dollar reserves to zero while boosting the share of the euro, the Chinese yuan and gold, the country’s Finance Ministry announced on Tuesday.

On the one hand gold signifies stability, wealth and the only currency that has survived in history and maintained its purchasing power. That is why governments around the world allegedly hold 34,000 tonnes of it currently valued at $2 trillion. On the other hand governments hate gold since it reveals their total mismanagement of the economy.

Gold is a matter of national strategy - an economic strategy - a line of defense. Whoever has gold does not belong to anyone - he or she keeps gold without obligation, Orbán stressed. He stated that the Hungarian gold reserve plays a very important role in the total Hungarian foreign exchange reserve, and thus it is a security and strategic defense tool.

An ideal setup. The gold-to-silver ratio looks ready to tumble again. It’s what you would expect in a bull market for precious metals.

The economic actors’ confidence regarding the central banks’ ability to correct this inflation, which they deem to be transitory, is certainly not open to question today. However, without rapid and specific action by these central banks (particularly on interest rates), this patience, which is also transitory, is at risk of wearing thin. The barometer of this confidence is gold.

Gold is an eternally stable asset. It has one of the lowest levels of volatility one can find anywhere on the stock markets. What’s more, variations of an extreme nature are very rare. Furthermore, by contrast with most other assets, the absolute gold variations demonstrate stability and a high degree of regularity. Finally, the study of the statistical strength of return at 180 days indicates that gold is not overpriced.