By Tyler Durden
As global economic policy uncertainty has skyrocketed this year, gold prices have accelerated dramatically reflecting their value, as Kyle Bass put so eloquently, as a “hedge against the idiocy of the political cycle.”
And, indeed, one look at the chart below – showing almost $13 trillion of negative-yielding debt globally – suggests the “idiocy” is as great as it has ever been as Einsteinian insanity continues to build as central bankers world-wide double-down on more of what hasn’t worked to build a recovery that is sustainable without the global liquidity spigot being wide open.
Perhaps, as Jim Grant explains to eloquently in a compelling WSJ op-ed, it is time to abandon the ‘PhD Standard’ which brought the era of government bailouts and too big to fail.
Though money can’t talk, people can’t stop talking about it. With the nomination of Judy Shelton to the Federal Reserve Board, the discussion has tilted to gold.
Gold is money, or a legacy form of money, Ms. Shelton contends, and the gold standard is a reputable, even superior, form of monetary organization. The economists can hardly believe their ears. The central bankers roll their eyes. How can this …read more
Source:: Zero Hedge