(Kitco News) - For many gold and silver market bulls, it took a while for their markets to catch fire due to rising and even problematic inflation around the globe. However, at mid-week it appears traders are now seeking out hard assets in the form of precious metals, as an inflation hedge.
Wednesday’s U.S. consumer price index for October came in hot, at up 0.9% and up 6.2%, year-on-year. The CPI was expected to come in at up 0.6% from September and up 5.9%, year-on-year. The October numbers are the highest U.S. CPI readings in over 30 years. Tuesday’s U.S. producer price index showed a rise of 8.6%, year-on-year.
Meantime, China’s producer price index on Wednesday was reported up 13.5% in October, year-on-year, and up from a 10.7% rise in September. That is the fastest factory gate price rise on recent record. Extreme weather and coal shortages are being reflected in China’s rising PPI.
Traders finally seeking gold, silver as inflation hedge amid hot price data
![Traders finally seeking gold, silver as inflation hedge amid hot price data](https://mr.cdn.ignitecdn.com/client_assets/shareholderintel_com/media/picture/6359/9a39/f49e/9d25/a6d8/af94/original_test.jpeg?1666816569)
Pouring Liquid Gold by Dan Brown is licensed under CC BY 2.0
Pouring Liquid Gold by Dan Brown is licensed under CC BY 2.0