Like the Energizer Bunny gold just seems to keep on going and going. On Monday gold hit a 6-year high in US markets. In other major trading countries gold is at all-time highs; India, Britain, Canada, Japan, Australia, and South Africa at the minimum.
The list reasons why gold keeps rising is getting longer, with the news that some countries’ national debt is now returning negative real yields being the newest addition. This is important info because now the old saying about “gold doesn’t pay interest” suddenly translates to “no interest is better than negative interest”.
Especially when the price of gold is rising – now gold is suddenly in the same realm as most stocks (which don’t pay dividends). Today’s featured article tells about the surprising country whose bonds just went into negative yield territory – quite a surprise to this Gold Enthusiast.
Continue reading at WSJ.com