Not Your Mother's Inflation
Published by Otavio Costa | Jul 29, 2021 | Articles 8

From a market perspective, there was one important lesson from both 1940s and 1970s periods: At times when investable assets yield less than inflation, owning tangible assets becomes imperative. Commodities were far-and-away the best performing asset class in both of those decades.

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The COMEX Bombarded and Gold Purchases by the BRICS
Published by Laurent Maurel | Jul 22, 2021 | Articles 7535

The sales of futures on the COMEX market, now seen almost every day, are colliding with a background trend for the purchasing of gold by the other central banks, which are starting to lose patience and want to cover themselves in relation to the risks of devaluation of their assets in terms of state bonds and currencies, which are significantly impacted by the current levels of inflation.

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Gold Is Lagging Behind The Yields
Published by Laurent Maurel | Jul 7, 2021 | Articles 7458

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.

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