Gold is up 6% and Silver is up 18% in the past week. Ayub states, "Holding US assets doesn't have the safe haven status it used to have... you can really only see [safety] in Gold." With US Treasuries showing unstable correlations (sometimes moving with equities) and a bearish view on the US Dollar, capital is fleeing to precious metals as the only reliable hedge against geopolitical risk (Iran) and trade war volatility. LONG Precious Metals. A sudden strengthening of the US Dollar or a resolution to the Iran tensions could unwind the risk premium.
Gold is up 6% and Silver is up 18% in the past week. Ayub states, "Holding US assets doesn't have the safe haven status it used to have... you can really only see [safety] in Gold." With US Treasuries showing unstable correlations (sometimes moving with equities) and a bearish view on the US Dollar, capital is fleeing to precious metals as the only reliable hedge against geopolitical risk (Iran) and trade war volatility. LONG Precious Metals. A sudden strengthening of the US Dollar or a resolution to the Iran tensions could unwind the risk premium.