Meantime, the latest U.S. personal consumption expenditures (PCE) inflation rate was 0.9 per cent, annualized.

FORBES: The race to debase and the outlook for gold

Excluding the prices of food and energy, PCE price inflation ran at a 2.1 percent rate in 2007, down a bit from 2006.

NPR: Economic Swoon to Continue, Bernanke Says

We think low real interest rates, a weak dollar and plentiful U.S. and global liquidity argue that core inflation (both core CPI and the core PCE deflator) will continue rising, not subside.

FORBES: The End Times Are Here