The unpredictability of economics.

It was some time ago that I have given up on charting gold prices. And it isn't only PM prices but nearly everything else. The massive QE in the US has overwhelmed nearly everything else. Now that the US is trying to wind down QE and raise interest rates another dynamic is taking hold. The US Dollar is skyrocketing in anticipation of higher interest rates. The USD has gone from 79.5 to 82.5. This is moderating housing prices, commodities and acts negatively on Precious Metal (PM) prices. Across the water, Europe and Japan are printing money like crazy as Keynesian economics has invaded everywhere. The money-printing is reducing the value of currencies and causes weak economic growth and stagnating wages across the world.

One feels that springs are being compressed, just waiting for the release of all the energy. In monetary terms, it is inflation that is coming. How much and when? Hard to forecast. Meat prices have gone up over 50%, which puts a dampener on the average family's budget. Add to this the increase in taxes and medical costs and we can expect a blowup along the way.