Today a short look at the correlation between the US 10-year Treasury Notes yield and the price of gold. 

Next week (March 14 - 15) the Fed is going to raise US interest rates. To be honest, I do not bother about the Fed at all. On the second day of their meeting there is always a big mess but then...the markets go as they want.

Therefore I prefer looking at what markets are telling us. And 10-year Treasury Note yields are telling this:

Note that the yield is going in the opposite direction to gold prices. For example, between July 2016 and November 2016 the yield was in its upward trend and gold prices were going down. 

Since the end of 2016 the yield has stuck at around 2.4% (the blue, dotted line on the upper panel of the chart) and the price of gold has been in its upward trend (the blue, dotted line on the lower panel of the chart). What is more, the price of gold was relatively stronger, compared to yields (the yield little changed but the price of gold going strongly up). 

Now, let us wait until the Fed meeting...