Market Minute ⏱️ 9/3/25: "Bonds OUT, Gold IN" is The New Thing

Mike Larson | Editor-in-Chief

Stocks slumped as bonds got dumped yesterday. But gold and silver surged again, with the former hitting a record high. We’re seeing a similar – though more muted – dynamic today. Crude oil and the dollar are modestly lower.

Out of bonds, into gold. That seems to be the trade this week…and really, for the last several months. This week alone, 30-year bond yields in the UK hit the highest since 1998 while yields on 20-year Japanese notes hit the highest since Y2K. The 30-year came within a whisker of breaching 5% to the upside here in the US, too.

What’s behind the global bond market rout? Governments are buried in debt and either unable or unwilling to implement policies that would fix the problem. Progress on the inflation front has slowed amid rising tariffs and higher input costs.

Meanwhile, Investors have been rattled by threats to central bank independence. That’s particularly true here in the US where President Trump is trying to stack the Federal Reserve with friendly policymakers. Plus, more institutional managers are abandoning the “60/40” portfolio model (60% stocks, 40% bonds). They’re turning to models that incorporate alternative and hard assets instead – including precious metals like gold.

In antitrust news, Alphabet Inc. (GOOGL) caught a break when a US district court judge avoided slapping the Big Tech firm with the harshest penalties he could have chosen. Judge Amit P. Mehta ruled last year that Google had a search monopoly, but didn’t force the company to sell its Chrome browser business in this week's remedy ruling. Google also won’t have to abandon certain distribution payments and procedures, a boon to it and its partner Apple Inc. (AAPL). GOOGL and AAPL shares rose in response.

Bear Traps’ McDonald: What the Great Asset Rotation Means for YOUR Portfolio

9 Days to MoneyShow Toronto — Claim Your FREE Pass Today!

We have only NINE days until the 2025 MoneyShow Toronto kicks off. Claim a free pass TODAY to enjoy…

📈 Hard-hitting keynote addresses on energy markets, promising stocks, US-Canada relations, and the Canadian economy from Eric Nuttall, Amber Kanwar, Benjamin Tal, and Peter Tuchman.

💸 Exciting and interactive panel discussions and workshops on wealth transfer and preservation strategies...10 top stocks for 2025-2026...using social media cues and trends to maximize your profits...and so much more. Your educators include Tom Bruni, Maya Corbic, Tim Johnson, and Jon Erlichman.

🐂 LIVE trading demonstrations, stage presentations, and in-depth Q&A sessions from North America’s sharpest active traders. They include Ardi Aaziznia, Fausto Pugliese, Huzefa Hamid, and Markus Heitkoetter.

• ETFs: As Funds Proliferate, Investors Should Keep THIS in Mind
  👉️ TICKER: SPY
  If a new product improves on something by making it cheaper or faster, then there will be demand for that product. Exchange-Traded Funds (ETFs) have made it cheaper and faster to make trades that involve more than just buying or selling a single stock. But just because an ETF exists doesn’t mean it will be suitable for your portfolio, writes Sam Ro, editor of Tker.co.

• NTAP: An Attractive Data Management and Cloud Storage Play
  👉️ TICKER: NTAP
  NetApp Inc. (NTAP) reported a good fiscal Q1, but shares plunged in after-hours trading on Wednesday, before recouping all those losses and then some by soaring on Thursday, only to sink anew on Friday. For the full week, shares advanced more than 2%, even as the storage and data management concern offered only a modestly positive outlook, highlights John Buckingham, editor of The Prudent Speculator.

☀️📈 Get year-end picks and strategies at the 2025 MoneyShow/TradersEXPO Orlando (Oct. 16-18). Register TODAY!