One European analyst just warned the gold price is set to surge as a day of reckoning is rapidly approaching for central banks.

Fed & ECB vs. BoJ Balance Sheet in % of GDP
By Ronald-Peter Stoeferle, Incrementum AG Liechtenstein
 (King World News) – The balance sheet of the Federal Reserve measured in % of US GDP is slowly decreasing due to QT.

We could observe a similar process in Japan some years ago, before the monetary expansion took off and the balance sheet of the BoJ increased tremendously, actually reaching the GDP level of Japan!…

From our point of view it is unavoidable that sooner or later the Federal Reserve will implement another round of QE.

Further large-scale experiments like MMT, GDP targeting and negative interest rates might be expected in the course of the next severe downturn (see chart below).

“The U.S. is beginning to sport a debt-to-GDP ratio worthy of any banana republic. Therefore, we believe that exposure to gold is both timely and potentially rewarding.” — John Hathaway

US Government Debt and Annual Interest Payments
Due to highly procyclical fiscal largesse, US government debt outstanding continues to rise rapidly.

Interest rate service reached a new record high of $545 billion in 2018 and will continue to rise in the coming years.

Real interest rates – their direction and momentum – are one of the most important drivers for gold!

There are two time periods that were shaped by predominantly negative real interest rates (blue shading at right): the 1970s and the period since 2001……more here