The price movements in financial markets are often difficult to interpret, but recently they are acting as if higher inflation lies ahead. It’s the uniformity of reactions in several markets that suggest this. The key event that launched these moves is the tax cut that passed in early December in the Senate and Dec. 20 in the House. Gold began a strong upward move starting on Dec. 12. The dollar as measured by UUP fell against other currencies starting on the same date. The stock market, which already had been making new highs, waited until 10 days ago and then … Continue reading Higher Inflation Ahead