Ken Griffin Calls Flight to Gold 'Really Concerning'

Group 1 - Inflation is projected to be substantially above target in all forecasts for the next year, contributing to a 10% depreciation of the dollar in the first half of this year, marking the largest decline [1] - There is significant asset inflation occurring away from the dollar, with gold reaching record highs and substantial appreciation in alternative assets like cryptocurrencies, as investors seek to mitigate US sovereign risk [2] - Gold is increasingly viewed as a safe harbor asset, similar to the historical perception of the dollar, raising concerns about the shift in investor sentiment towards hedging against US exposure when investing in U.S. equities [4] Group 2 - Central banks and individual investors globally are adjusting their strategies, indicating a shift in how they perceive and manage their investments in relation to U.S. assets [3][4] - Foreign investors are now hedging their returns back to their local currencies when purchasing U.S. equities, reflecting a bifurcation in investment strategies [4]