The theory is that gold is a safe heaven from geopolitical risks and currency devaluation.
The reality is that Gold is taking a considerable battering.
Why?
We forgot the third characteristic of Gold. It is highly manipulated.
It actually started to decrease when Russia started to be a problem for the US.
And Russia (plus China) are pushing for a de-dollarization from the US. Part of the strategy is to make trades in different currencies from the US and part is transform the reserve in gold (Russia and China Reserve banks have been the largest net buyer of gold).
So the logical countermove from the US with the backing of the few powerhouses in Gold (almost all Jewish – no offence – just strategy) is to try and cripple Gold.
Naturally the counterpart (Russia and China) have to take in these paper losses as their game is the undoing of the US Dollar (that would spring up the gold prices).
Also oil price (biggest revenue maker for Russia) is “casually” under pressure .
So, with gold, you are caught in a war. As an hedge still works as no one knows who will ultimately will.
investorpolitico 