Intermediate
Case Study: The 2022 Gold Rally During Global Inflation
2022 should have been gold's perfect year: inflation at multi-decade highs, a war in Europe, and central banks buying gold at a record pace. Instead, gold ended the year roughly flat in US dollars, crushed by the fastest Fed hiking cycle in decades and a surging dollar. Indian investors saw a very different picture, because a sliding rupee turned a flat global year into a strong rupee return. This case study pulls apart the forces that pushed and pulled gold through 2022 (real yields, the dollar, central bank buying, safe-haven demand and India's import duty hike) and turns them into practical rules for how much gold belongs in an Indian portfolio and why.
Gold as an Inflation HedgeReal Yields and the FedUSD/INR and Rupee ReturnsCentral Bank Gold BuyingPortfolio Allocation to Gold
MODULES
4
DURATION
~1.5 hr
TRACK
Alternative Investing
What You'll Master
Why gold's 2022 return depends entirely on which currency you measure it in
How rising real yields and a strong dollar pulled gold down even as inflation surged
The role of central bank buying and the Russia-Ukraine war in keeping gold afloat
How MCX gold prices, the 2022 import duty hike and USD/INR combine into the rupee price
What 2022 proved, and did not prove, about gold as an inflation hedge
How to size and rebalance a gold allocation in an Indian portfolio
Access Level
LEARNER
Everything included
Full Text Playbooks
Actionable Exercises
Mobile Reading Mode
Lifetime Updates