If you’ve read about investing in gold and silver on our site and elsewhere, you’ve certainly read about inflation fears and how gold, silver and other precious metals can help protect you from out-of-control inflation.
In fact, many economists and leading investors like Jim Rogers have been saying prices for food, energy and other staples are expected to go up across the board.
You don’t need us or some expert to tell you this.
Anyone who shops, drives or uses electricity is certainly noticing price increases for a wide variety of necessary things like gasoline, wheat and other food staples.
And it’s not just here in the U.S.
As we discussed before, food price inflation is seen as a main trigger for the protests and revolutions gripping the Middle East, with Egypt being the prime example. Larger economies like India and China are experiencing these inflation pressures as well.
In an interview with India’s Financial Chronicle, commodities guru Jim Rogers says these factors will contribute to social unrest around the world and result in massive political upheaval. With China being a key bellwether on the direction of many commodities like base metals and food, Rogers says he expects price inflation to occur across the board in about every country in the world.
In February, the U.S. experienced the highest food inflation since 1974, when Richard Nixon was president. Food costs increased 4% alone in February with gasoline increasing dramatically as well. The average gas price in the U.S. is up over $0.76 compared to this time last year.
Some fear this will lead consumers to scale back other spending and put the brakes on an already tepid economic recovery. Three in four are in fact saying higher fuel and food costs are prompting them to cut back spending in other areas.
‘The American shopper was extremely cautious before,’ says Britt Beemer, president of America’s Research Group. ‘Now I’d say they are extremely worried’
Investing in gold, silver, platinum, palladium and copper bullion is one way to protect yourself from the effects of inflation. Many people buy gold and silver for this very reason. No one has to go further than the gold price to see the inflation…since 2001, the gold price has increased by over $1000 per ounce!
So if you’re wanting buy silver or gold coins to store away in the event inflation does get out of control in the U.S., we urge you to learn more by visiting our gold investors’ knowledge center today.
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