"Everything you need to know about gold"
HIGHER GOLD PRICE VS. INFLATION
The actions by the Federal Reserve over the past year have led many to assume that much higher inflation is a foregone conclusion. This leads to a further expectation that a much higher gold price is imminent.
That sounds logical, but it is not that simple.
There is a relationship between higher gold prices and inflation, but the two are not directly related. The confusion results from a misunderstanding about inflation and its effects.
GOLD PRICES AND INFLATION
The latest actions by the Federal Reserve have led many to assume that much higher inflation is a foregone conclusion. This leads to a further expectation that much higher gold prices are imminent.
That sounds logical, but it is not that simple.
There is a relationship between higher gold prices and inflation, but the two are not directly related. The confusion results from a misunderstanding about inflation and its effects.