During the market crash in August 2011, gold found its place as a reserve asset as the USD was under fire due to a lack of a debt agreement. It appears that from the latest move in gold and S&P500 that this reserve / safe haven status is returning. With the market dropping almost 2% today and gold rallying almost 3% the lock step correlation over the past 2-3 months appears to have broke down.
The next few days will be key to determining where these asset classes will go next.
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