Here is a look at real world inflation, plus an email from a KWN reader out of Australia about gold’s surge.

January 4 (King World News) – Here is an email from a KWN reader out of Australia:  Hello from Australia, a look at Gold from an Australian dollar perspective, and very happy with my long term investment. I do not know of an investment in Australia with this kind of track record, and the debt in Australia is about to hit one trillion dollars! (See Gold chart in Australian dollars below).

Gold Priced In Australian Dollars Has Surged
A Stunning 19.36% Per Year!

Best regards,
Patrice Massa

Billionaire Eric Sprott Buying
To find out which company billionaire Eric Sprott just bought a 12% stake in click here.

Now A Look At Real World Inflation
Peter Boockvar: 
The 10 yr inflation breakeven has finally gotten back to 2%, up 2 bps today to the highest level since November 2018 (see attached). I continue to think that the direction of inflation (up I believe) and its impact on longer term interest rates (up I believe) will be such an important theme this year. A big part of this will be the continued breakdown in the US dollar which I expect will accelerate this year.

With respect to inflation I’m always on the lookout for not just the stats we see every day, particularly those from the government but what’s happening in the real world…

To hear Sean Boyd discuss $3,000 gold and the big game-changer
for the gold market 

I saw this from a friend who received it from a contractor friend of his:

“To our valued customers:

We have received price increase notices from all of our manufacturers which will take effect in February 2021. As a result, the following price increases will be implemented on February 1, 2021:

  • Residential & Commercial Roofing Products and Acessories: 5-8% Increase
  • Siding Products & Accessories: 5-7% Increase
  • Windows: 5-10% Increase
  • Metal Accessories 10-15% Increase

Here is from a local pool cleaning/maintenance company in my neighborhood to their customers last week:

“Like most other industries, the global pandemic has also wrecked havoc on the supply chain in the pool industry. Manufacturing of parts, whole goods, chemicals, etc… has been drastically affected due to work stoppage mandates, sickness, local compliances and the like. The effects of the supply chain deterioration has led to product shortages and large percentage price increases mainly in the pool chemical space…
To ensure that we continue to employ workers who possess the values and work ethic that we require, we have to impose a nominal increase on the price of our maintenance package. Luckily, this is just slightly more than any price increase from years past, but is unfortunately necessary this season while trying to juggle the current industry climate and maintaining the quality of service you deserve.”

The actual price increase hasn’t yet been announced. 

Sharpest Price Inflation Since 2011
Finally, this was from the Markit US manufacturing PMI today:

The rise in input prices was substantial and the fastest since April 2018, driven by raw material shortages and supplier price hikes. Firms were able to partially pass on higher costs, however, as selling prices increased at the sharpest rate since May 2011.”

***To listen to Danielle DiMartino Booth’s powerful audio interview about gold, silver and what surprises to expect in 2021 CLICK HERE OR ON THE IMAGE BELOW.

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