via BNN - Dr. Murenbeeld
The investment scenario for gold has changed so much so that keeping pace has been difficult. I would not discount the continued efforts of central banks to destroy the purchasing power of the currency and for politicians to place blame in geopolitical factors.
If you were betting long treasury bills in the secondary market in the U.S., your short hedges would almost certainly have saved you from losses. You would have sought trading gains in the stock market. In Canadian terms, that would have meant practically the same thing, except you still have the housing bubble reliably backed by long term government bonds.
So each government prices in either negative rates, or a full-on currency devaluation by hoarding gold, or by building empty cities. Canada seems to prefer massive energy infrastructure booms and housing bubbles.
Oil prices certainly seem to be a pillar that has held up the bubble for so long.
Press pause when you get to the long term chart oil vs. gold:
http://ow.ly/GFyz8
-F6