Inflation Roars! Gold Surges!

10 Nov

Inflation Roars! Gold Surges!

Market Alert!

Consumer prices have risen 6.2 percent over the last 12 months.  

Gold rocketed higher on the news.  The market saw it coming and began climbing days in advance of the reports.

But spiking consumer prices tell only part of the story.  It gets worse.

Wholesale prices have risen 8.6 percent in the past year.

We are dangerously close to double-digit inflation!  

It is not only dangerous, it is a national disgrace.

Here are the ugly details.  The Bureau of Labor Statistics reported Wednesday (11/10/21) that its Consumer Price Index rose 6.2 percent in the 12 months through October.  That is the highest inflation rate since 1990.  

The energy component of the CPI was up 4.8 percent in just the last month!

The CPI is the headline story.  It is the most reported price index.  But it the background is the Producer Price Index.  It reports on wholesale prices.  Over the last year, ending October 31, wholesale prices rose 8.6 percent.   That number is not a fluke.  Wholesale prices were up 8.6 percent for the 12 months ending in September as well.

We called the Federal Reserve’s policy announcement about inflation one week ago “a big, fat nothing burger.”  More spin than substance.  Now the gold market has ratified our view.  From a low 0f $1758 on the day of the Fed’s press conference, gold has moved up $90 an ounce.  It has been four uninterrupted days in a row of higher prices.

That is not a vote of confidence in the Deep State Money Manipulators.

With some urgency, we advise our friends and client to take steps now to fortify their portfolios with gold and silver.  Please call and speak with one of our gold and silver professionals today.

We are dangerously close to double-digit inflation!