Friday Feb 21, 2025
Unearthed: U.S. Politics, Economics, and Gold Markets: A Look Ahead, ft Robert Armstrong
In this episode of Unearthed, co-hosts Joe Cavatoni and John Reade, Senior Market Strategists for the World Gold Council, are joined by Robert Armstrong, US financial markets editor at the Financial Times and author of the Unhedged newsletter. Filmed on 15th January 2025, together they explore how shifts in US fiscal policy, geopolitical uncertainty, and changes in bond yields are influencing financial markets and the gold industry. Armstrong shares his perspective on key economic themes, including the resilience of the US economy, contrasting global economic challenges, and the dynamics of gold demand from central banks and investors. The trio looks into potential policy changes under the new Republican administration, examining tariffs, tax reforms, and immigration policy—as well as their implications for inflation and broader economic stability. As we publish this episode, just over a month later, it’s remarkable to see how the gold market and gold price have shifted and how the global picture has already changed.
[1:08] Armstrong shares his thoughts on the recent steepening of the yield curve and its implications for markets
[5:08] A comparison of the US's robust economy versus struggles in other global markets
[7:53] How potential US tariffs and immigration policy could impact inflation
[12:14] Discussion around potential US tax reform in 2025
[15:42] The role of central banks and emerging market investors in supporting gold demand
[24:15] Armstrong's prediction for the financial markets in 2025
[29:12] Armstrong shares his fun fact and the emotional connection many have with gold
Additional Resources
Notable Quotes
"If the world was so uncertain, why isn’t gold going up more? But you take the other side of the argument, which is: if the world wasn’t so uncertain, it would be going down." – Robert Armstrong
"As we like to say in America, our currency, your problem." – Robert Armstrong
“It's a market in suspense. We absolutely know there will be action on tax policy. There has to be because the old tax laws are expiring, and if you have a Republican president with a Republican controlled Senate and a Republican controlled House and you don't cut taxes, what are you there for?” – Robert Armstrong
“I just feel like right now in the United States, not speaking of the West, but speaking of the United States, risk appetites are just still incredibly robust.” – Robert Armstrong
About World Gold Council
We are a membership organisation that champions the role gold plays as a strategic asset, shaping the future of a responsible and accessible gold supply chain. Our team of experts builds understanding of the use case and possibilities of gold through trusted research, analysis, commentary, and insights. We drive industry progress, shaping policy and setting the standards for a perpetual and sustainable gold market.
You can follow the World Gold Council on X at @goldcouncil and LinkedIn.