inflation

This year has been especially lackluster for Gold. Its price has slumped 8%, to about $1,200 an ounce, and is off more than 35% from its high of $1,900 in 2011. Adding insult to injury, Vanguard will soon rechristen the largest Gold-oriented U.S. mutual fund and shift its focus away from the metal . . . .

Speaking on Tuesday this week, Jeffrey Gundlach, founder of the big DoubleLine Fund in the U.S. and with control of assets under management estimated at nearly $120 billion, commented that the gold price had broken its downtrend line and was on the verge of breaking out to the upside.  “Something big is happening” Reuters quotes him as saying . . . .

With higher US inflation, a weaker US dollar and geopolitical tensions on the horizon, Wayne Gordon explains why he thinks gold prices will rise even higher in the long term . . . .

Gold has remained disappointedly range-bound through equity turmoil and rising geopolitical tensions. A flirt above $1360/oz last week was cut short by hawkish Fed minutes but more positive inflation prints could yet kick-start the returns needed to entice meaningful inflows . . . .

Gold has now recovered from being negative to close the day higher on three occasions in as many days since Friday . . . .

If you’ve been waiting for the U.S. unemployment-inflation relationship to reassert itself, 2018 may be the year for you . . . .