Sakata

Hedges Against Inflation? Commodities, Gold and Inflation-Linked Bonds - JPM

I wouldn't believe a word the comes from JPMorgan. Their activities are one of the main contributors to the present mess. They are also, almost certainly, the main cause of the decline in precious metals, due to their record high illegal shorting of silver and gold which the CFTC refuses to investigate. See news.silverseek.com/Te... if you don't know what I am talking about.

Inflation Trade Looks Increasingly Bullish

I was referring to perceived inflation -- what the man in the street thinks of a inflation. If prices are reported as higher than a year ago then the average person perceived that to be inflation.

Definitions of inflation being an increase in the money supply means nothing to most people.


On Mar 06 09:05 AM fabien hug wrote:

> What inflation are we talking about? Real or perceived? How is the
> real inflation computed?

Inflation Trade Looks Increasingly Bullish

Paultaut, you make a very valid point, and one I have not seen others point out. Inflation is measured as year-over-year phenomenon. It is not just a matter of how prices are changing now, but also how prices were changing a year ago. In the third quarter last year commodity prices pliummeted, especially energy. If they stay constant this year (which I don't expect) then inflation will still increase. This, combined with the increased money supply will definitely cause inflation to kick in with a vengeance before the end of the year.