The conventional playbook for navigating market turmoil is undergoing a stress test, with traditional safe-haven assets losing their protective luster.
US Treasury yields climbed sharply on Monday, marking a significant break from recent norms as global bond markets experienced a severe selloff.
Simultaneously, gold prices fell sharply, dropping nearly 1% on the Multi Commodity Exchange (MCX).
This move challenges the long-held perception of Treasuries as a reliable refuge during periods of geopolitical or economic instability.
Simultaneously, gold prices fell sharply, dropping nearly 1% on the Multi Commodity Exchange (MCX).
The decline in the precious metal was driven by profit-taking against a backdrop of a strengthening US dollar.
This dual weakness in bonds and gold suggests that market participants are increasingly prioritizing liquidity and yield over traditional safety, or that the dollar’s strength is overpowering safe-haven demand across asset classes.