Dispelling the Rising Rates/Bad for Gold Myth

There's a common misconception that rising US interest rates are bad for gold - when history typically tells us that the opposite is in fact the case. The best example was the 1970s, when nominal interest rates more than doubled to more than 20% - yet over the same period gold prices rose 24 times – from $35 to over $850 per ounce, as evidenced in the accompanying chart. At the end of the day it's all about negative real interest rates, not rates per se.