Gold’s Unexpected Rise Amid Rising US Yields and Focus on US Core PCE

In an unexpected turn of events, the value of Gold ascended as US yields climbed, casting an eye on US Core PCE (Personal Consumption Expenditures). It’s an undeniable fact that Gold’s performance is intrinsically tied to the US core PCE, a key index reflecting consumer spending, and by extension, inflation trends.

However, the current dynamic involving escalating US yields presents an entirely different set of challenges and opportunities for investors. In the past, rising yields usually discouraged investors from opting for non-yielding assets like gold. But the current climate indicates that the age-old truth may no longer hold.

What’s behind Gold’s ascent amid climbing US yields remains to be fully understood, but it certainly points to the growing complexity and integrated nature of global financial markets and the need for investors to stay abreast of multiple, ever-changing indicators. Read More