[navigatesol]

>All these issues could cost big money for governments so it makes their bonds less attractive.

If bonds are unattractive, why are yields at near-all-time lows?

Gold is appealing when real rates of interest are low, as it maintains purchasing power over time.

[misja]

Good point! In a normal market situation you would expect the bond yields to increase when they become less attractive, but this is currently not the case.

Here is a hint why this happening: not all government bonds have such low yields: only some European countries and Japan have, the USA bond yield for instance is quite a bit higher.

The reason is that there is currently a huge buyer for European government bonds: the ECB. The ECB's "quantitative easening" that has been going on for the last years is artificially keeping the yields low.