This Is What Gold’s Been Saying

Today’s inflation report confirms what the gold market has been saying — there are deflationary pressures in the economy. After a blip up in February, consumer prices fell in March.

The message is that real interest rates are too high.

The stock market is gaining back some ground today after yesterday’s plunge. Gold is also making up some lost ground, but it’s still around $1,390 an ounce.

Of the major stocks, Coke ($KO) is doing especially well after a good earnings report. Shares of Microsoft ($MSFT) have been very steady at $28.60 or so since the stock dropped last Thursday. The company will report earnings later this week.

Posted by Eddy Elfenbein on April 16th, 2013 at 11:08 am

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