Gold price may signal future inflation, says study
Changes in the gold price lag global money-supply growth by six months, meaning gold can be taken as an indicator of future inflation, according to the World Gold Council.
There are growing concerns that big increases in money supply worldwide will put substantial upward pressure effect on inflation. A report published on Friday says the price of gold can be a leading indicator in this regard.
As money supply increases, the gold price rises, after a lag of about six months, according to the World Gold Council (WGC) study. Another WGC finding is that gold is an indicator of future velocity of money, in particular in the US. In other words, the gold pric…
Sign In to Your Account
Access Exclusive AsianInvestor Content!
Please sign in to your subscription to unlock full access to our premium AI resources.
Free Registration & 7-Day Trial
Register now to enjoy a 7-day free trial—no registration fees required. Click the link to get started.
Note: This free trial is a one-time offer.
¬ Haymarket Media Limited. All rights reserved.