by Craig Hemke
Sprott Money
The biggest story of 2023 is not a function of IF the Fed will pause and then pivot to rate cuts. Instead, it’s a matter of WHEN will this shift take place. This monetary policy change is coming, and it’s actually much closer than you think.
And, obviously, this is the key to gold prices as the year progresses. As long as the Fed keeps hiking—and is expected to continue hiking—the COMEX gold price is unlikely to sustain any moves to the upside. However, as history has taught us, once the Fed shifts back to easing, the gold price will rally. The question on your mind should be: when will this shift occur?
To that end, some important signals are flashing. Let’s start with a chart I found on Twitter. Below you’ll see the trend of money supply growth in the United States. Money supply growth is important, and it’s necessary, too, as an essential component for servicing the existing debt.