ag491

Own Gold? Time to Fold

inflation IS a very real threat. First of all, unlike you mention in your article, central bans are pumping astonishing amounts of money into the economy, the case here is not about public capital replacing private capital but about money supply which is increasing rapidly following the recent actions of the central banks. Secondly, the fiscal stimulus we see is unprecedented, and now Obama is going to implement the largest infrastructure project in 50 years, is this not inflationary? Frankly speaking, no serious economist considers deflation a possibility given the amount of quantitative easing that is going on at the time. And the case of Japan is very different since money supply was not expanding rapidly. While there will be a short term retracement in CPI figures, inflation is very likely to accelerate in future. Hence BUY gold.