5.3% Bond Yields Pressure Gold Yet Fail to Halt Fiat Erosion - YieldMax’s Khouw

US 10-year yields hitting 5.32% are weighing on gold, now trading near $4134 per ounce. YieldMax chief strategist Michael Khouw notes that higher rates draw investors seeking meaningful income from liquid holdings. Khouw states, “There is a natural substitution effect whether people are doing the math or not.” He adds that inflation has settled above 3% and will not return below that level, steadily eroding fiat purchasing power. The core case for gold endures as a hedge against currency dilution and fiscal imbalances. Khouw concludes the metal “has been, and will remain, a solid non-correlated asset” for portfolio diversification.