Kofi Bofah

Don't Be Fooled - Inflation is Coming

Wages are the primary force behind inflation. Labor market is weak. Intuitively, inflation is a nonissue.

Has there been a time in history where rampant inflation has entered the equation with a weak labor market?

The 1970's. The rampant inflation came courtesy of an oil embargo, causing energy prices to spike.

The commodities boom is dead, and prices are on the downdraft. Unless Iran shuts down the Straights of Hormuz, I am doubtful that higher rates of inflation will materialize.

Why Oil and Gold Are Headed Much Higher

cubanstockpicker, this is classic:

'in reference to the analysts read the single sentence at the beginning of the article "The analysts provided no timetable for their predictions." They will eventually be right. I guarantee you, EVENTUALLY'

Why Oil and Gold Are Headed Much Higher

Bearish on commodities.

You speak of inflation, and monetary policy (weak dollar)

Inflation? What inflation? Inflation is largely a product of tight labor markets. The global availability of cheap labor, coupled with the requisite job losses of recession; and 'jobless recovery' period make inflation a non issue.

Although the U.S. is burdened with enormous piles of debt that would theoretically precipitate a plunging dollar; investors have clung to dollar denominated assets amidst this panic. The U.S. dollar will continue to experience a renewed vigor.

Not to mention that the supply-demand equation is out of whack, further pressuring prices with over supply and falling demand.

The commodity boom is over, my friend.

Why Oil and Gold Are Headed Much Higher

The commodities boom is dead.