Regarding gold, open your imagination and welcome the great changes of the century ——
If my friends hadn't consulted me about gold, I would have almost forgotten about gold.
The trend of gold, first of all, can be seen to be positively correlated with the US M2 money supply (shaded area chart), so it can be seen that the Fed's actual balance sheet reduction (QT) has shrunk alone. Even so, the market is still expecting the March interest rate decision to give the expectation of ending QT, because the Treasury account balance (TGA) has begun to slowly inject liquidity.
The fundamentals throughout the market in the past two years are uncertain uncertainties. In fact, gold miners have been drastically reducing their holdings since 24 years. This is the main position of gold ETFs, including the central bank has stopped increasing its holdings of gold, but the price of gold has continued to rise.
With the landing of Trump's inauguration, the boots did not fall. On the contrary, Trump is an unexpected surprise. Especially the recent remarks check the gold inventory for decades. If there is no or not enough, then gold will usher in the largest squeeze and surge in history. So these are all unexpected surprises. You can maintain reasonable suspicion, but you dare not believe it.
With the huge amount of US debt, will the US push up the gold price to repay the debt, and then change the anchor from the gold standard to the currency standard (digital currency)? Isn't this what Trump did when he came to power, promoting the hegemony of digital currency to maintain the low position of the US dollar.
The core variables of gold have exceeded a series of factors such as interest rates, the scale of negative interest rate bonds, the share of US dollar payments, geopolitics, and changes in gold miners' positions. The market may be pricing in the other side that we can't see. In short, it is unpredictable, but it must be prevented.
What aunties have enough gold to push up gold prices, this is all nonsense, the media is just looking for reasons for the rise in gold.
——Continue the following
