Another hot US inflation report arrived on Thursday, September 10, and all financial markets took a hit, including Gold, Bitcoin, and the S&P 500.
It seems like even traditional safe-haven assets like gold are not acting as an inflation hedge. The bond market recently delivered a reminder that inflation hedges can struggle when rising prices also mean higher interest rates.
Gold’s Inflation Trade Breaks
US producer prices rose 0.4% in August, matching forecasts. The annual rate reached 5.4%, slightly above the 5.3% expected.
U.S. 🇺🇸 PPI & JOBLESS CLAIMS:PPI 5.4% YoY, (Est. 5.3%)PPI 0.4% MoM, (Est. 0.4%)Core PPI 4.6% YoY, (Est. 4.6%)Core PPI 0.2% MoM, (Est. 0.3%)Initial Jobless Claims 206K, (Est. 205K)
— Wall St Engine…
