Gold Rallies on Softening Inflation. What’s Going On?

From sunshineprofits.com

Inflation softened slightly in July and gold prices rose, but the bullish joy may be premature. How should we respond? Inflation eased a bit in July, but it remained disturbingly high. According to the latest BLS report on inflation, the CPI increased 0.5% in July after rising 0.9% in June. The core CPI, which excludes food and energy, also softened, as it rose 0.3% in July after increasing 0.9% in June. The deceleration was mainly caused by a much smaller advance in the index for used cars, which increased only 0.2% (it was 10.5% in June). However, on an annual basis, inflation practically stayed unchanged since ... (full story)