Question: why does the gold prices rose after the selected events what happened to the stocks and Treasury bonds markets?does the inflation play any role here

why does the gold prices rose after the selected events what happened to the stocks and Treasury bonds markets?does the inflation play any role here ?

** hint: what are the reasons that motivates people to be gold instead of stocks or teasrury bonds after the selected events

why does the gold prices rose after the selected events what happened

to the stocks and Treasury bonds markets?does the inflation play any role

Volatile elements Gold price, November 2019 prices*, $ per ounce Gold price, one week increase after selected events, % 2,000 0 2 4 6 Iran hostage crisis Qassem Suleimani killed September 11th attacks Iraq invades Kuwait September 11th attacks 1,500 Iran hostage crisis 1,000 Qassem Suleimani killedt 500 Iraq invades Kuwait 0 1970 80 90 2000 10 20 *Deflated by PCE deflator January 1st-6th, intraday price Source: Datastream from Refinitiv The Economist Golden ratio Gold price, November 2019 prices*, $ per ounce 2,000 1,500 m 1,000 500 2006 08 10 12 14 16 18 20 United States, ten-year inflation-indexed Treasury bond yield, % 3 2 mm 1 0 -1 -2 2 16 18 20 2006 08 10 12 14 Sources: Datastream from Refinitiv; Federal Reserve Bank of St Louis The Economist *Deflated by PCE deflator Volatile elements Gold price, November 2019 prices*, $ per ounce Gold price, one week increase after selected events, % 2,000 0 2 4 6 Iran hostage crisis Qassem Suleimani killed September 11th attacks Iraq invades Kuwait September 11th attacks 1,500 Iran hostage crisis 1,000 Qassem Suleimani killedt 500 Iraq invades Kuwait 0 1970 80 90 2000 10 20 *Deflated by PCE deflator January 1st-6th, intraday price Source: Datastream from Refinitiv The Economist Golden ratio Gold price, November 2019 prices*, $ per ounce 2,000 1,500 m 1,000 500 2006 08 10 12 14 16 18 20 United States, ten-year inflation-indexed Treasury bond yield, % 3 2 mm 1 0 -1 -2 2 16 18 20 2006 08 10 12 14 Sources: Datastream from Refinitiv; Federal Reserve Bank of St Louis The Economist *Deflated by PCE deflator

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

A mixture of 16,500 kg/h of 55 wt% methyl acetate and 45 wt% methanol is to be separated into 99.5 wt% methyl acetate and 99 wt% methanol. Use of one homogeneous azeotropic distillation column and...

This need to be answer form the article which is uploaded with this question. 1. Draw a supply and demand graph to illustrate the changes described above. Be sure to label your graph and clearly...

I need your help with this: Can you please quote from the attached chapters / resource if possible? Corporations often use different costs of capital for different operating divisions. Using an...

(Questions from Lecture Note and ?Wall Street Journal? Articles) - Discussion Board Activity I need to read the following Lecture Note that I uploaded and some ?Wall Street Journal? articles, and...

Why is it important for us to understand how the global system of financial institutions and markets works? ros57395_ch01.qxd 12/21/04 2:45 PM Page 1 Part 1 The Global Financial System in Perspective...

Questions were written in the word file named questions, and the question related powerpoint slides were named as slides. Thanks in advance. 1) The common stock of Marielle Machinery will generate...

please be creative .i want creative answers and no short answers .... Subscribe Now Sign In The Wall Street Journal Tinkering With Currencies Doesn't Solve Economic Problems By GEORGE MELLOAN Updated...

Final_Exam_Macro Question 1 (2 points) Purchasing-power panty theory does not hold at all times because many goods are not easily transported and the same goods produced in different countries may be...

(Questions from Lecture and Article) - Discussion Board Activity I need to read the following Lecture Note and the ?Wall Street Journal? articles that I uploaded, and writeanswers for theDiscussion...

Diversification is possible because most asset classes are not highly correlated. Unfortunately, correlations may vary depending on the economic and financial market regime. In the 2008 Global...

ITEM #1 LEARNING FROM THE HEADLINES True to the Learning from the Headlines approach of this course, watch the Part Three Intro Video after you read the short article the video highlights. Notice...

List four alternative methods of rounding the result of a floating-point operation.

In the sketch of a car radiator in Fig. 4.63, air is used to cool ethylene glycol (Cp = 2.5 kJ/kg·°C). Air at a flow rate of 1 m3 /s enters the radiator at T1 = 20°C and leaves at T2 =...

BE5.16 (LO 4) Zach Taylor is settling a 20,000 loan due today by making six equal annual payments of 4,727.53. Determine the interest rate on this loan, if the payments begin one year after the loan...

CT Corp Comprehensive Question Canadian Tire Corporation, Limited ( Canadian Tire ) is a family of companies that includes a retail segment and a financial services division, among others. The retail...

2. Viewing training as an investment rather than a cost changes what leaders and executives expect from training programs. The introduction of data analytics offers trainers the opportunity to prove...

1. Explain why it is or is not a good practice to consider the connections a job applicant might have that could enhance an employers business portfolio.

2. Develop a work sample test to screen applicants for a college professors job.