Why is gold doing so shitty?

Millionaire said:
Gold (and other assets) went up with the real inflation: money printing and money supply expansion.

The price of eggs in the shops etc (CPI) is not actual inflation, it is the symptom of years of money printing.

Now if they slow down money expansion while also giving you interest on your cash, why buy Gold which pays no interest and also likely to fall in value due to reduced demand (with people preferring cash instead).
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So millionaire, let me see if I can sum up basically what you are saying in just a few words:

The inflation is already priced in.

How'd I do? :)

I wonder, how does a market price in like 20, 30, 50 or more years of inflation? Because I don't see the government from stopping its huge deficit spending any time soon, and I don't see the Fed stopping buy all those Treasury bonds being issued soon - they might slow it down a little, but interest rates will spike and they will have to resume IMO. We've got inflation and more inflation on the horizon IMO.

Thanks!
 
SoyUnPerdedor said:
Any idea? Inflation is here, and its only getting worse. Yet gold is way off its highs close to $2000, and is right above $1800. Thoughts?
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Debt crisis. Margin calls from the crash. everybuddy needz $$$, so sell it all, gold included. Crash = rapid $$ rise - kind of synonyms.
 
Noone even mentions this in passing, so it must be nothing. Yup, an unrelated nothing.
bye bye liquidity for retail. Let's plow the path for government issued and controlled digital currency. bye bye paper currency alternative.

LME to scrap gold and silver futures by July due to thin activity

PUBLISHED
APR 22, 2022 11:48AM EDT

The exchange, the world's oldest and largest market for industrial metals, said in a statement on Friday it expected to complete the withdrawal of gold and silver contracts by July.


https://www.nasdaq.com/articles/lme-to-scrap-gold-and-silver-futures-by-july-due-to-thin-activity
 
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tiddlywinks said:
Noone even mentions this in passing, so it must be nothing. Yup, an unrelated nothing.
bye bye liquidity for retail. Let's plow the path for government issued and controlled digital currency. bye bye paper currency alternative.

LME to scrap gold and silver futures by July due to thin activity

PUBLISHED
APR 22, 2022 11:48AM EDT

The exchange, the world's oldest and largest market for industrial metals, said in a statement on Friday it expected to complete the withdrawal of gold and silver contracts by July.


https://www.nasdaq.com/articles/lme-to-scrap-gold-and-silver-futures-by-july-due-to-thin-activity
More...
 
tiddlywinks said:
Noone even mentions this in passing, so it must be nothing. Yup, an unrelated nothing.
bye bye liquidity for retail. Let's plow the path for government issued and controlled digital currency. bye bye paper currency alternative.

LME to scrap gold and silver futures by July due to thin activity

PUBLISHED
APR 22, 2022 11:48AM EDT

The exchange, the world's oldest and largest market for industrial metals, said in a statement on Friday it expected to complete the withdrawal of gold and silver contracts by July.


https://www.nasdaq.com/articles/lme-to-scrap-gold-and-silver-futures-by-july-due-to-thin-activity
More...

They only launched them in 2017.
 
1.Gold price is not only related to inflation, but related to inflation and stocks price.
For example, in 1941 and 1942,US inflation was 9.9% and 9%,(in 1940 0.7%);in 1946 and 1947 inflation was 18.1% and 8.8% (in 1945 2.2%).Gold price stayed at 33-34 from 1940-1947.While Dow rose big during this period.
When Gold price soar, it was when both high inflation and stocks went down big or went sideway,as in 1970-1980 and 2000-2010.
If you look at historical gold price, it now stays near historical high.
https://www.macrotrends.net/1333/historical-gold-prices-100-year-chart

2.If you look at US historical inflation data, inflation is expected to go down very soon.

https://www.thebalance.com/u-s-inflation-rate-history-by-year-and-forecast-3306093

Scroll down to bottom you will see inflation was expected to be 2.7% in 2023 and 2.3% in 2024.
 
Last edited:
The problem with Gold is everyone, not in the literal sense of course, is waiting for it to move.

IOW no one is willing to jump in first.
 
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