
CPM discusses the record annual average gold price this year, the 61% rise in annual average silver prices over the past three years, and how strange it is in the context of these realities that some investors with irrational price expectations keep wondering aloud why gold and silver prices are “so low.” The fact that historically increased money supply has not led to higher inflation or gold prices since the 1980s also is discussed in light of persistent market comments about how higher gold prices are “inevitable” due to the large increases in money supply.
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