Both gold and yen aren’t supposed to go up with stocks, right? The Japanese banking system is fighting tooth and nail to undermine its currency, yet it rises on a daily basis, now at 18 month highs.
Traditionally, gold had risen with inflation. But since that’s non existent and deflation is the real enemy, as indicated by the explicit actions of virtually every central bank in the world, one has to surmise the recent run in gold is due to more of a fear trade, not inflation hedge.
It’s all about falling real rates
Had correct bets on both and bailed too early. Ugh. Notably, treasuries appear to be lagging. I think that changes soon…and it should be a face-ripping-off move for the short treasury crowd.