For months now, experts have been predicting a surge in demand for gold. Why hasn’t the price of gold climbed higher yet? Why is the yellow metal holding steady, and what is it waiting for?
One theory is that the grip of inflation has not yet descended on the country. Until the small tide of deflation passes, inflation will not rear its ugly head. Inflation was expected to come sooner, but for now, it seems that its effects have been postponed. In the meantime, deflation is a short-term reality. For prospective gold buyers, this holding pattern represents an opportune buying point in the market. While there’s a tendency to wait to buy until the market starts to climb, the real profit potential occurs before the mad buying frenzy starts.