Goldbugs Ready To Kill The British Pound

Gold rallied 2.2% against the British pound last week, which could be the beginning of bad news for the currency.

The pound has been particularly strong year to date, as the only major currency to appreciate versus gold. This happened despite UK fundamentals looking worse than many of the economies whose currencies the pound beat.

Gold Performance

Such performance has been at odds with 10-year historical trends, whereby the pound depreciated against gold like most other currencies.

But how long can the pound continue to be the strongest major currency in the world?

Latest weakness could be the start of a nasty reversal favouring the goldbugs.

Gold Performance Table

(Via HardAssetsInvestor)

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