What’s not good for the US economy is good for gold. A new batch of weaker data this week has further bolstered gold’s recent climb.
Retail sales fell. Jobless claims rose. Factory output dropped. And gold has taken off.
Looking at the chart below as a gold proxy, SPDR Gold Trust (GLD) has spent February in an upward trajectory, and has broken through key resistance levels along the way.
Still, this months move to the upside has not been enough to signal a buy. It has, however, been enough to make shares look a little too frothy right now.