Wealthion Macro Bites 9/3/25

Mounting concerns over long-term inflation and sovereign debt levels are extending a global slide in long-dated bonds.  The 30-year Japanese government bond (JGB) yield touched an unprecedented 3.255% on Wednesday after the 30-year Treasury yield brushed 5% and the 30-year U.K. Gilt yield touched 5.72% (highest in 27 years) on Tuesday.  Spot gold touched an all-time high of $3,546.79 in overnight Asian trading as the rush out of long-term government debt sparked a hunt for alternative safe-haven assets.

In a Financial Times interview, WGC CEO David Tait announced plans to rollout a digital form of gold to trade, settle and collateralize bullion in London’s $900 billion physical gold market.  The new digital unit, named pooled gold interests (PGI’s), would allow banks and investors to buy and sell fractionalized ownership in physical gold held in segregated accounts.  Tait observed the new format would create the ability for banks and investors to “pass gold digitally around the gold ecosystem, as collateral, for the first time.”

A PWC survey showed 84% of U.S. consumers expect to curb spending over the next 6 months, especially on apparel, big-ticket items and dining out.  They plan to reduce Christmas/Holiday spending by 5.3% from last year’s levels, the biggest drop since 2020.

China CSI 300 -0.89%, Euro Stoxx 50 +0.8%, S&P futures +0.5% and Nasdaq futures +0.7%.  Spot gold +0.4% and spot silver little changed