Treasury yields are the highest since 2002 while gold sits far below its January record. How do you trade that link?

The US Treasury's own par yield curve data show the 10-year yield closing at 5.29% on 30 September, the highest close since 14 May 2002. It rose 53 basis points between 31 August and 2 October, and the 2-year yield rose 49 basis points to 4.83% (full report).

Gold pays no interest, so higher yields usually weigh on it. It has traded well below its January record of $5,589 (gold report). But the relationship is not mechanical. The Bank for International Settlements noted that gold extended its decline from its early-year peaks and recovered ground only when fiscal worries gained prominence (BIS review). Gold can respond to real yields, to the dollar and to demand for safe assets at the same time (what moves the gold price).

We would like to know how members actually use the link:

• Do you watch Treasury yields before you trade gold, or the dollar index, or both?
• Do you look at nominal yields, real yields or the term premium?
• Has the yield–gold relationship held in your own trading this year, or has it broken down at times?
• How do you decide whether a move in gold is about yields or about something else, such as a geopolitical event?

If you track a specific measure, say which one and where you check it.

Please share your own approach and reasoning. Posts that promise a direction or sell signals will be removed.