Gold is one of the few assets globally that has produced positive returns since the turmoil started last October. The shiny metal is a trade on the USD, inflation as well as investors see it as a safe haven to own in volatile times.

Our “strategic” bullish view on gold as an asset to hold in volatile times played out well and a few weeks ago we wrote that the logic for holding gold as a safe haven asset is over for the short term. 1300 is a huge resistance, and at these levels we don´t have much view on gold.

Interesting to note is that gold (white) and VIX (orange) have been moving in tandem, both leading into the October turmoil, as well after the sell off in equities started and volatility exploded. The two assets moving in tandem has so far in 2019 been absent. VIX has imploded and has gone down from 35 to sub 19, while gold continues holding close to recent highs.

VIX is starting to look more and more interesting here.

Source; charts by Bloomberg