Examining the Growing Disparity: Exploring the Rise of US Public Debt in Relation to GDP | Chart of the Week
Gold tends to lose appeal when rates rise and push up bond yields, increasing the opportunity cost of holding zero-yield bullion. Currently, it rose from session lows on reports of further negotiations over raising the debt ceiling. The economy continues to become less efficient in terms of GDP production for every dollar of debt.
Sources: usdebtclock.org, FRED, BMG Group Inc.
