Goldbug Fomo is setting up the market for a fall


Safe haven: Gold bars in Munich, Germany. The price of the metal is rising even though it offers no returns and is expensive to store. — Reuters

MARKETS always look their very best at the top – that’s increasingly the case with gold as it nears US$3,000 a troy ounce.

It’s behaving like a Veblen good, an item for which, contrary to the laws of economics, demand increases with price. Can the momentum be sustained?

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gold , bullion , metal , precious , futures , dollar

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