Giuseppe Guglielmo @CryptoUser: "Food for thoughts. It’s pretty clear..."

Italy

Food for thoughts. It’s pretty clear that the recent surge in $GOLD and $SILVER has been fueled by a growing sense of geopolitical / macro uncertainty. But it’s also hard to ignore how much it’s been accelerated by a very weak $USDOLLAR vs other currencies - for example vs the euro ( $EURUSD roughly ~15% weaker YoY). At the end of the day, most real assets are priced in dollars. So when the dollar devalues, those assets become easier to buy for anyone not operating in USD. And this isn’t just about precious metals. You’ve seen a similar dynamic in more “industrial” stuff - copper, lithium nickel, cobalt, graphite - where price action is being pushed not only by currency effects, but also by a structural demand narrative tied to energy intensity. With AI + datacenters (and the broader electrification wave), it feels like we’re entering one of the biggest “power consumption” trends we’ve seen in decades. On top of that, a dollar this weak tends to: - support US equities: since a big chunk of $SPX500 revenues comes from abroad (40%+ is the typical estimate), US exports tends to look “cheaper” in global terms - relieve pressure on USD-denominated debt outside the US, which can make non-US assets feel more investable (you’ve seen it in the recent strength of emerging markets - $EEM (iShares MSCI Emerging Markets ETF) ) So you end up in this weird regime where everything looks like it wants to keep going up… ... but also one where it feels like a small shock (geopolitics, rates, policy surprise and more) could trigger very abrupt moves in the other direction. $NSDQ100 $QQQ (Invesco QQQ) $DJ30 $NVDA (NVIDIA Corporation) $GOOG (Alphabet) $META (Meta Platforms Inc) $AAPL (Apple) $TSLA (Tesla Motors, Inc.) $COPPER.FUT $LIT.US (Global X Lithium & Battery Tech ETF) $NICKEL $GLD (SPDR Gold) $SLV (iShares Silver Trust) $USDJPY $GBPUSD $USDCAD Note: image generated with Gemini “Nano Banana Pro”

Not investment advice. The author may have financial interests in the mentioned instruments.

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