"it is all about what the market likes not what you like." This...

"it is all about what the market likes not what you like."

This is mostly correct in the short-term and also exactly how bargains and market inefficiencies are created. I would also like to regurgitate Benjamin Graham quote here: "in the short run, the market is like a voting machine but in the long run it's like a weighing machine".

@Jofferyfarmer if the market behaves like the last 20 years then gold is unlikely to perform well in an inflationary environment. To put it simply we will likely have the following sequence of events:

1. inflation/CPI rises
2. interest rates go up
3. bonds yields go up
4. Money moves away from precious metals and into bonds (bonds are an alternative risk free investment for "market makers" in an inflationary environment)
5. precious metal prices go down

... so yeah its not looking great for sentiment in precious metals. See charts below which back up the statements above. I suspect precious metals to mostly track sideways for the next 2 years. Which is great really. The current gold price is still very attractive for AME assets.