by Chris Powell
GATA.org
Dear Friend of GATA and Gold:
GoldCore’s Mark O’Byrne this week calls attention to commentary written this month by Harvard economics professor Kenneth Rogoff recommending that countries diversify their foreign exchange holdings away from the government bonds of developed countries and into gold.
Rogoff’s argument seems to be that with interest rates already effectively at zero or below, there’s nothing to be gained through the purchase of such bonds, while gold is a “low-risk asset” that offers the possibility of capital appreciation.