Monday, December 19, 2016

Gold Is Signalling The End of The Golden Age

"And so we're told this is the golden age
And gold is the reason for the wars we wage"
-U2, New Year's Day

An Idiocracy is a society that conveniently rearranges the narrative to fit their fake-believe values. They're always right, because they omit half the facts and otherwise ignore all of the prior times the exact same ideas failed. Case in point for rearranging the narrative, gold is viewed as the preeminent hedge against inflation. Even I agree on that fact. However, if that is the case, and Trump's rally is due to reflation, then why is gold selling off?

The reason is obvious, there is no fucking reflation. It's a late cycle con job, as I've been asserting this entire time...

And gold (black) agrees with me (CPI in red). Gold left the party the minute Trump got elected:

Reflation? Bullshit.

Canadian dollar

EM Currency

The future Inflation Expectations ETF


Freeport McMoran (Mining)

"Yeah, maybe gold is right..."

The Faustian Idiocracy forgot there's no transmission mechanism for inflation anymore. That was formerly known as "living wages".


"Load up on reflation"
"What reflation?"
"Google it, you'll find someone willing to blow smoke up your ass"

Search Term: "Reflation"

If you're a gold lover, don't look at this chart: