Daily Reckoning/James Rickards/1-23-2023
“Gold has really taken off since late October, from below $1,630 to almost $1,930 today. That’s a major move. What’s going on? You might want to argue that it has to do with inflation. The trouble with that argument is that (official) inflation has been coming down for the past few months. Meanwhile, gold seemed to massively underperform with respect to the very serious inflation we saw earlier last year. So again, why are we seeing a gold spike now? The most likely answer lies with central banks and geopolitics.”
USAGOLD note: Rickards offers his take on what has happened in the gold market over the past three months…… Ricards essentially sees gold demand being driven by major fundamental forces seeking a true safe haven.
