Gold and the Dollar: A Breakup Story
Gold and the US dollar were once inseparable partners. Now they are sworn rivals. Let's dig into the breakup that shaped the modern economic system.
Gold and the US dollar were once inseparable partners. Now they are sworn rivals. Let's dig into the breakup that shaped the modern economic system.
The value of central bank gold reserves just surpassed the value of foreign U.S. Treasury holdings. When the biggest players in the world swap bonds for bullion, it’s worth paying attention.
We’ll explore the silver price history from 1925 to today and zoom in on recent decades (30-year and 10-year price trends).
Trump’s tariffs have sent gold to an all-time high. Markets expect tariffs to cause some combination of higher inflation, a declining U.S. dollar, geopolitical tensions, and more foreign gold demand.
We’re in a world of seemingly stark inconsistencies – confounding incongruences.
Typically, we expect the price of gold to fall when yields rise. But over the last two months, Treasury yields and gold have surged together.
The price of gold rises when some event encourages marginal buyers to buy, or discourages marginal sellers from selling. This article discusses the top 10 factors that drive gold prices.
An unexpected slowdown in the CPI caused a sharp drop in the dollar, incentivizing buyers to chase gold and silver.
Gold is hovering around $2,320/ounce, down from its all-time high of $2,450 on May 20th. Silver has taken a bigger hit; down 11% from its May peak.
Gold is immune to inflation, valued across every culture, and independent of banks, governments, and corporations. Today, gold's greatest benefit for investors is its ability to improve risk-adjusted returns in a portfolio.
Typically, rising yields are bad for gold. Not this year. Rising yields represent an increasing risk of a public debt crisis, for which gold may be the only remedy.
When the Fed cuts interest rates this summer, gold and silver stand to absorb billions of dollars as investors redeploy their mountain of cash.
Economic crashes begin with artificially low interest rates and credit expansion which lead to a misallocation of resources, inevitably culminating in a recession.
Gold has risen 6% in less than a week, achieving an all-time high.
Because the entire global financial system was built on gold. Today, the gold price sends important signals about the economic health of the world’s most powerful nations.
The long-term risks of quantitative easing, including eroding the credibility of the US dollar, are closely linked to gold's performance.