yes folks we have high inflation here ... , page-17

Can someone explain to me how inflation causes gold movement????


I would have thought increases in the money supply increases the value of gold just by mathematics adjusting for comparative demands where money supply increases also should cause inflation in some goods/services/assets.

So IMO inflation could be a symptom of a gold increase phase but fundamentally they would have to be mutually exclusive except for a pyschological link from a believe system from people thinking they need to protect their wealth from inflation by buying gold.

The reason I say this is the money supply can increase, deflation occur as different assets are valued differently however all things being equal gold should still rise.

Happy to be convinced otherwise.