- The popular notion that rising rates crush gold is totally false. Gold rocketed higher in the 1970s when both short and long rates were already very high and rising.
- Gold soared in the 2000s when rates were far higher than today’s, and even surged during the Fed’s last major rate-hike cycle a decade ago, which was quite sharp.
- Rising interest rates are not gold’s nemesis, and not even a real threat. They actually help alternative investments by weighing on stocks and bonds.