From 2008 to 2015, the FED expanded its balance sheet several fold, fastest rate since maybe Weimar Germany & Zimbabwe. Negative rates are a pipe dream in the U.S., as are continued (short term) ZIRP. Bonds are on thin ice.
At best they will hold what they have. Of course, the bulls will argue that Lehman couldn't print money like the FED can.
The number of billionaires in recent years has expanded vastly, and most are underowned in gold & silver. During this time, the supply of gold & silver has not expanded nearly as much as the billionaire cash.
The tell will be a $75 or $100 up day. Maybe more.
This means that the price of gold will have to rise much much higher ($2500?) to equilibrate supply & demand if some or most of the billionaires decide to increase gold (& silver) holdings.
And Syb, zero (& negative rates) = zero (and negative) carry costs to own gold.
Syb, you going to bet against Soros on this? And Gundlach? All are calling for a gold "meltup" as faith in central banks goes bye bye. Syb, don't miss the gold train.
So is billionaire Mark Cuban--on CNBC in minutes---promo says he is super-bullish on gold.
This is getting "veddy interesting"
When Central banks Panic & go to Negative rates = Buy Gold (carry costs zero)
Big traders are underowned in gold, so they must play catch up before the meltup Gundlach predicts.
All realated to credit default swaps blowing out--banks are afraid to lend to eachother, esp. in Europe.
Gundlach says rally is just starting! BUY!
Sentiment: Strong Buy
"Dollar an unnecessary layer of complication". All fine and dandy for US buyers, but don't you think the dollar enters into the buy/sell decision of traders of U.S. bonds outside of the U.S.?