Inflation Finally Rears Its Head – Ep. 228

* We had a very significant day in the currency and gold markets yesterday * We had some good follow through today that really buttresses the point that I want to make * We got some economic news that was released yesterday that would have been considered bullish for the dollar and bearish for gold * By most people, other than me, who trade currencies and who trade gold * But the fact that gold did not sell off or the dollar did not rally was very significant * The news was the CPI and Retail Sales * First of all, Retail Sales came out stronger than expected, they were looking for a gain of .1% and we got a gain of .4% * They actually revised the prior month's gain from +.6% to  +.1% * Now a lot of the gain in retail sales, though has to do with the fact that prices are higher * Retail sales are not adjusted for inflation * Prices are going up * Retail sales may be going up, particularly things like gasoline * It's not just the price of gas that's going up; everything is going up * The CPI came out at the same time as Retail Sales and that is the bigger number * We got a .6% rise in consumer prices * That's versus the expected .3% * Even the core - you take out food and energy - we were up .3% there versus an estimate of .2% * Year over year CPI 2.5% that's the official number * Obviously prices are going up a lot faster than that but according to the government they're going up at 2.5% * Even if you take out food and energy and just look at the core, year over year the change is 2.3% * Now remember the Fed is saying their target is 2% * When Janet Yellen testified this week she said that she's confident this week that we're going to hit her objective * Well, we've already surpassed her objectiveOur Sponsors:* Check out Fast Growing Trees and use my code GOLD for a great deal: https://www.fast-growing-trees.com* Check out Plaud AI and use my code GOLD for a great deal: https://plaud.ai* Check out Quince and use my code quince.com/gold for a great deal: https://www.quince.com* Check out TruDiagnostic and use my code GOLD20 for a great deal: https://www.trudiagnostic.comPrivacy & Opt-Out: https://redcircle.com/privacy