VIDEO — Will Rhind: Inflation is Here, Gold Needs Market to React

"We know we have inflation," said Will Rhind of GraniteShares. Now the market needs to acknowledge that it's happening.
Will Rhind: Inflation is Here, Gold Needs Market to Reactyoutu.be
After reaching an all-time high in 2020, the gold price has left some investors disappointed this year.
Even with numerous factors working in its favor, the yellow metal has remained fairly rangebound in 2021, trading between about US$1,750 and US$1,900 per ounce.
Speaking to the Investing News Network, Will Rhind, CEO of GraniteShares, shared his thoughts on why gold has failed to maintain last year's momentum, and what could be next in 2022.
Rhind noted that gold's 2020 performance was driven largely by fear as buyers flocked to the precious metal as a crisis hedge. When the situation began to settle and the world started going back to normal, gold became less appealing. "I think what's really behind this is we're looking for that next catalyst," he explained.
In his opinion, that catalyst relates to inflation. "I think what we're looking for now is signs of an inflation problem. Not just inflation — we know we have inflation — but signs that the market now acknowledges that there's a problem with inflation," he said. He has pointed out multiple timesthis year how inflation is weighing on gold.
Aside from inflation, Rhind identified the US dollar as an important element to watch when it come to gold. "The dollar is always a big factor whenever we talk about gold," he said. "The dollar has been in a pretty bullish stance of late, but if we see some weakening or flattening in the softening of the dollar that will be positive for gold."
Finally, he shared his updated thoughts on whether a new commodities supercycle is in the works. Some market watchers have been hesitant to make that call, but Rhind has a number of reasons he thinks it's happening.
"I think we're now at the 'perfect storm' moment where prices for nearly all commodities are lifting off. And that is largely due to COVID and reopening supply chains — all of these things," he said. "But I think that there's also a second phase to this, which is longer term, which is about this transition to carbon-free energy infrastructure, or certainly a reduced carbon-intensive energy structure."
Watch the interview above for more from Rhind on gold and the commodities space.
Don't forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
MARKETS
COMMODITIES
Commodities | |||
---|---|---|---|
Gold | 1774.26 | +0.42 | |
Silver | 19.82 | -0.08 | |
Copper | 3.54 | -0.01 | |
Palladium | 2128.50 | +16.31 | |
Platinum | 934.50 | +0.49 | |
Oil | 88.15 | -0.86 | |
Heating Oil | 3.19 | -0.02 | |
Natural Gas | 7.87 | -0.19 |
DOWNLOAD FREE REPORTS
BROWSE COMPANIES BY SECTOR
- Agriculture Investing
- Phosphate Investing
- Potash Investing
- Base Metals Investing
- Copper Investing
- Iron Investing
- Lead Investing
- Nickel Investing
- Zinc Investing
- Battery Metals Investing
- Cobalt Investing
- Graphite Investing
- Lithium Investing
- Manganese Investing
- Vanadium Investing
- Critical Metals Investing
- Magnesium Investing
- Rare Earth Investing
- Scandium Investing
- Tantalum Investing
- Tellurium Investing
- Tungsten Investing
- Energy Investing
- Oil and Gas Investing
- Uranium Investing
- Gem Investing
- Diamond Investing
- Industrial Metals Investing
- Aluminum Investing
- Chromium Investing
- Coal Investing
- Molybdenum Investing
- Tin Investing
- Precious Metals Investing
- Gold Investing
- Palladium Investing
- Platinum Investing
- Silver Investing
- 3D Printing Investing
- Bitcoin Investing
- Blockchain Investing
- Cleantech Investing
- Cloud Investing
- Cryptocurrencies
- Data Investing
- Emerging Tech Investing
- Artificial Intelligence Investing
- Mobile Investing
- Robotics Investing
- Fintech Investing
- Gaming Investing
- Esports Investing
- Nanoscience Investing
- Graphene Investing
- Nanotech Investing
- Security Investing
Featured Interviews Stocks
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.