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How the Debt Problem is Fueling the Gold Market

Bloomberg Markets
Saturday, February 7, 2026 at 3:04 PM
~4 min read
Inflation

Original Report

The price of gold has experienced significant volatility this year, rising past $5,500 an ounce before plummeting in a matter of days. Yet overall, gold prices remain elevated from recent years and...

The price of gold has experienced significant volatility this year, rising past $5,500 an ounce before plummeting in a matter of days. Yet overall, gold prices remain elevated from recent years and that’s led to soaring profits for Australia’s miners. We travelled to Western Australia to see firsthand how those miners are putting their money to work, and also spoke with Robin Brooks of the Brookings Institution about why gold prices could go higher this year. (Source: Bloomberg)

Glass House Analysis

Inflation is the silent tax that erodes purchasing power, hitting hardest those who can least afford it. When grocery bills rise faster than wages, families face impossible choices between food, medicine, and rent. Unlike market volatility that mainly affects investors, inflation touches everyone who buys groceries, fills a gas tank, or pays rent.

The implications extend beyond the immediate news cycle. Every economic development creates ripples that affect employment, prices, and opportunities in ways that may not be immediately visible but are deeply felt. By tracking these connections, we can better understand how the economy truly works—not as an abstract machine, but as a human system shaped by and shaping the lives of millions.

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