Gold Sees The Future Of Inflation

FED: From Central Bank to Bailout Kingpin

Gold last traded at $1,828 an ounce. Silver at $26.30 an ounce.

NEWS SUMMARY: Precious metal prices steadied near 1-month highs Thursday despite a firmer dollar. U.S. stocks fell even as second-quarter earnings results continued to beat expectations.

Forbes--"Now gold appears to be moving....The market is looking into 2022 and it is no longer seeing tightening, it is seeing central bank liquidity operations off and away into 2023 and beyond. It is seeing the inflation picture in 2022 as still being strong.

So the question is, what will be the state of play in 2022 and beyond?

The problem with Covid Delta is that it is just one of a number of variants, and new mutations are just going to keep coming. The observation is that just like the common cold, coronavirus, it will keep mutating around vaccines and cannot be snuffed out like smallpox, so that the war with Covid is going to stretch on and on.

As such the Covid environment is going to be with us for a long time and while the situation will surely morph, the only way ahead for governments, for the foreseeable future, is to print money, as they always do in times of crisis and emergency....

It's also good to remember that the modern central banks are not run by fools and that what ahead is unlikely to be hyperinflation, more like just enough to keep making the best of devaluing debts and keeping nominal GDP in range of burgeoning debt levels.

I think it's important to remember that inflation and deflation are always and everywhere a result of policy. Never believe otherwise. Inflation is the real sport of kings."