Gold … it’s alive, it’s alive! Watching the fight between rising bond yields and core inflation numbers spill over into a slight win for gold. $1813USD at the moment.
Commodity analysts have noted that rising inflation pressures have saved a lackluster gold market this year. Bond yields are rising in anticipation of tighter monetary policy from the Federal Reserve. The U.S. central bank is expected to reduce its monthly bond purchases before the end of the year. However, rising inflation has pushed real yields modestly lower in recent gains, supporting gold prices.
Yours truly wonders what the effect of the rat-poison squared crypto bubble is having on the demand for gold. Yes, I know, opinions are all over the place from a revolutionary new form of world finance that is bound for the moon, to (and this is where I find my opinion today) an unregulated criminally managed Ponzi scheme that will collapse as spectacularly as tulip bulb mania. My view, there is no regulation of the conversion-in of real money and buyer side demand, and a suggestion a huge proportion of demand is all coming from single sources. When and if this one blows all tires, it is going to be a shocker for a lot of people.
Of course the greatest Ponzi scheme of them all is the continuing reign of the funny-money, non gold-backed US dollar, which will, one day, swerve out of control and through all the carefully managed guardrails put in place by the bankers, brokers, billionaires and politicians who benefit from the shenanigans of the Fed and US Treasury, manipulating the money supply to the point where 99% of people don't really know what stands behind any of their paper, bonds, bills and other pieces of the mountain of financial obligations that is the greatest dung hill ever agglomerated by mankind.
I'll stick with some insurance in the fidicuciary extraordinaire that can be held without counterparts, no fuzzy internet nonsense, just lustrous, beautiful gold. And a few million ounces in the ground arent the worst asset to be leveraged against either.
Contrary opinions? They hate gold like a kid who just fell off the jungle gym hates gravity.
Although Keynes is credited with calling the gold standard a “barbarous relic,” many other people had written similar terms (“gold is a relic of barbarism”) well before 1923. John Austin Stevens wrote to the New York (NY) Times in October 1873, stating that “gold is a relic of barbarism to be tabooed by all civilized nations.” Tennessee merchant John T. Goss testified before the U.S. Senate in 1894, saying that “Gold is a relic of barbarism and should be discarded by all civilized nations as a medium of exchange.” The book Civilized Money (1895), by Charles M. Howell, also declared that “gold is a relic of barbarism.” In December 1921, Thomas Edison said that “”Gold is a relic of Julius Caesar and interest is an invention of Satan.”
Edison was a whack job. Smart one though ... the last century's Elon.
cg