Gold Investing News/Charlotte Macleod/1-19-2022
“Speaking to the Investing News Network, [BMG Groups Nick Barisheff] pointed out that if inflation was calculated the way it was in 1980, it would be at 15 percent. He also noted that inflation is happening at a time when gross domestic product is declining. ‘(With) the two of them combined we get stagflation,’ said Barisheff, adding, ‘That’s the worst possible combination.’ In his opinion, that makes it more important than ever to hold gold.”
USAGOLD note: The last time big inflation combined with big unemployment was during the stagflationary 1970s. The Misery Index posted some very big numbers, and gold, as Barisheff points out, tracked it higher throughout the decade.
Sources: St. Louis Federal Reserve, Bureau of Labor Statistics, ICE Benchmark Administration • • • Click to enlarge
