An article in Forbes by Mike Pento deals with inflation as a reality. Mr. Pento states:

Evidence of escalating inflation can be found everywhere except in the minds of those who are charged with the protection of our currency’s purchasing power.

The sad part of the unfolding mess is that the Fed is making things worse:

… the very inflation that will bolster stock prices will also destroy the underlying US economy. The Fed currently has the hubris to believe that it has the ability to print the US into prosperity and that it will always be able to keep long-term interest rates from rising. It can’t. The Fed can manipulate the yield curve lower through quantitative easing, at least initially; but the more bonds Bernanke & Co. purchase, the more quickly the rate of inflation will increase.

Not only that, the Fed will not avoid a Depression. It will produce and even more harmful Depression than the 1930s:

The final kick in the head is that the depression the Fed has been trying desperately to avoid will still occur– except that it will be accompanied by runaway inflation and rapidly increasing interest rates instead of falling prices and reduced debt expense.

Got Gold?