I think pog is getting very close to a good rally. I think the other commodities will also rally. This is how the charts look to me now. That will show that inflation is the outlook not deflation. And a view of inflation would help all the markets. We need to see that this is not 1929 - not a great deflation.

I am still mulling Denner’s Nenner’s idea that we have just ended the K wave cycle - the deflationary part. That speculation (or whatever his explanation of cause was) in oil and grains masked the real deflation that was continuing until now. But either way, whether deflation ended when I thought, or whether it is ending now; does not matter for the future outlook. The seeds of this great inflation are sown by the money being created now and that will continue for quite some time.

The proof will be when the commodities and particularly gold move up.

aurum (pog CEF)

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