The common wisdom amongst gold bugs and many concerned investors has been that inflation would increase with the financial mess that we find ourselves in - to the point where Weimar Republic type hyperinflation may wage havoc over us. I don't argue that there is inflation in the things people need and this is shown in the way that Shawdowstats tracks the CPI. But the $1 trillion in annual US Federal Reserve printing and the quadrupling of its balance sheet, plus easing across other parts of the world have not lead to hyperinflation. Jim Puplava of the Financial Sense Newshour looks at this very topic in his Big Picture review and instead looks at the broader disinflationary cycle that may be in play.
Jim is an astute investor and a smart guy - his writings from the early 2000s were one of the inspirations behind this site, being first launched in 2002. He had the gold, silver, oil and commodity call right on so it is worth stepping back and looking at what he has to say. This type of macro view will have a significant impact on investors as all assets, whether they are gold, silver, precious metals, commodities, stocks, bonds, real estate, etc. will all be affected. Jim also talks about the decoupling of the emerging markets and the developed markets where credit growth has flowed through to the economies and inflation (plus falling currencies) are much more prevalent.