Techdamentals
Oct 14, 10:14 PM
$B Barrick is one of the largest gold miners by output, now expanding into copper too, and its shares move closely with the gold price, which fell more than 1% to about
$4,107 an ounce this morning.
The decline followed a hot inflation report, 3.7% versus an expected 3.6%, that pushed October Fed hike odds from 21% to 47% in about ten minutes. Gold pays no yield, so it becomes less attractive next to bonds that do pay.
An analyst at Monaxa noted the move came alongside a stronger dollar and rising Treasury yields, part of the same mechanism.
Full explainer, plain English: https://www.youtube.com/watch?v=REWyi4wjrnY
Educational, not advice.
https://techdamentals.com/newsletter/why-gold-fell-when-inflation-went-up?ref=st
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