After a Six-Year-Long Hiatus Below $1,400, Gold Has Finally Reclaimed That Crucial Level
By PETER KRAUTH, Resource Specialist, Money Morning • July 8, 2019
Ladies and gentlemen… gold is back.
That’s right, the yellow metal is up $100 in the past month, and it’s up over 20% since its August lows of last summer.
The Fed’s recent signal of a possible rate cut to counter economic headwinds has helped drive gold higher.
But perhaps even more important is the new global record of $13 trillion in negative-yielding sovereign bonds.
Never in 5,000 years of history – until now – have sovereign bonds paid negative yields.
Yet gold is reacting the way it always has, attracting investors as they seek shelter from economic and geopolitical storms.