Frank Holmes: Inflation Could Be Gold’s Savior

Daniela Cambone of Kitco News welcomes Frank Holmes back for another edition of Gold Game Film during the shortened holiday week. With inflation on the rise and consumer price index (CPI) data recording its biggest reading in six months in October, Daniela wants Frank’s take on how this might affect gold prices. Frank believes that the biggest issue is whether or not the Federal Reserve will raise rates fast enough to keep up with inflation, because that will be the “savior for gold.”

For Frank’s full thoughts on why CPI data should be a main focus for the gold market, watch the full interview below!

All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor.

Holdings may change daily. Holdings are reported as of the most recent quarter-end. None of the securities mentioned in the interview were held by any accounts managed by U.S. Global Investors as of 09/30/2016.

The Consumer Price Index (CPI) is one of the most widely recognized price measures for tracking the price of a market basket of goods and services purchased by individuals. The weights of components are based on consumer spending patterns.

The Purchasing Managers’ Index is an indicator of the economic health of the manufacturing sector. The PMI index is based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment.