Ken Griffin, CEO of Citadel, expressed deep concern this week over Gold’s rising price and its consequences for the role of the US dollar as a global secure port, according to Bloomberg. Gold Futures violated just $ 4,000 per day. Ounce, which marked a gain of more than 50% so far in 2025.
The US dollar, measured by the US Dollar Index (DXY) The value of the dollar is tracking against a basket of larger foreign currencies, including euros, yen and pounds, has lost about 10% of its value this year and is currently sitting near 98.5.
Griffin said to Bloomberg, “We see significant active inflation away from the dollar as people are looking for ways to effectively de-dollarize or remedy their portfolios to us sovereign risk.” Griffin added, “We’re definitely on a little sugar in the US economy right now,”. American shares are at all heights in the midst of a boom in artificial intelligence and high performance computing.
The tale “Debasement Trade” has reappeared and refers to investors turning to hard assets such as gold, silver and bitcoin as hedges against monetary down -based, a process where excessive money creation reduces the purchase strength of a currency.
Meanwhile, the US government remains in a partial shutdown, and rate -cuts are expected broadly. According to the CME FedWatch tool, the markets prize in a 92%chance of a 25 -base point cutting at the next October 29 meeting, which would lower the federal fund rate to a range of 3.75%–4.00%. Further cuts are expected at the end of the year, which brings the rate down to between 3.50% and 3.75%.
Bitcoin has risen 9% in October and hit a new height of $ 126,000 on Monday.
