Nowhere to run (bonds are the only refuge)

Bond Markets Surge Despite Robust U.S. Employment Data

Although the latest U.S. employment numbers were strong, bond prices soared this week, leaving many financial professionals puzzled. Large-scale investors are increasingly wagering that artificial intelligence could help drive down inflation. This expectation of easing inflation typically leads to lower interest rates and rising bond values, which is exactly what unfolded in recent days.

Meanwhile, as technology stocks continue to lose favor, investors are urgently seeking safer assets. Attempts to move capital into gold and silver have also faltered, with both precious metals underperforming as the market aggressively challenges popular trades for 2026. Perhaps when crowds start forming outside gold dealers, it’s time to reconsider conventional wisdom…