Ancient One
08-21

This is a re-rating of AU and a re-rating of Gold and US treasury , or more correctly $40 Trillion of US debt . Finally people are waking up to

1. Fed has little room to increase rates without setting of a recession or forcing treasury to raise Bond rates, treasury cannot afford to increase bond rates as interest is 120% of USA GDP . (What does your neighbour do when their interest on loan becomes more than their income? - if they are law abiding, they declare bankruptcy, if they gangster, the start trying to steal from friends and rob strangers.) 

2. It's not the interest rates, it's the real interest rates that's important 

3. Gold pays no interest or dividends but miners are paying dividends and shares buybacks. 

4. Next one that will fly is Barrick - when details of Their NewCo IPO is settled. 

5. Watch out for silver as it has been quiet 

Last Friday I already reminded on AU after it triggers a buy . 

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment