Sprott's Paul Wong and Kenny Zhu argue gold is breaking from its historical playbook: the 10-year TIPS yield jumped 49 basis points in September — one of its largest monthly moves in 25 years — yet gold's resilience marked a break from its strong inverse relationship with real yields. Though gold fell 6.31% in September to $4,157.41, the report says rising yields actually worsen the fiscal problem, with roughly $10.5 trillion of U.S. debt due for refinancing within 12 months.
That dynamic strengthens the structural case for gold, the report concludes, as central banks increasingly seek physical control of their reserves — France consolidated its foreign-held gold in Paris this year, the Netherlands shifted gold out of North America, and China and Hong Kong are building vaulting, clearing and tokenized-gold infrastructure.
