From Kitco
With gold leading “inflation expectations” and silver leading gold, it’s the best of both worlds, but may not be sustainable, long-term
First some definitions, per my usual work:
- Gold is less economically cyclical and less inflation sensitive than silver
- Contrary to popular believe, gold miners do not benefit from cyclical inflation
- A rising Silver/Gold ratio indicates future potential for a resumption of an inflationary macro
- A rising Gold/RINF ratio indicates either the inflation will not work as well for cyclical markets as it has in the past (Stagflation), or that the Silver/Gold ratio will have a shelf life.