With inflation moving down at a slow pace and the possibility of stagnation looming in the U.K., let’s explore some practical tips on how you can protect against inflation.

How to fight nflation?

How to fight inflation?

GA News

The Spotlight

Newsdesk

Studies & research

Although inflation rates have begun to go down, we’re still facing a living crisis in the U.K. 

Core inflation in the U.K. remains at its highest level in three decades

. Meanwhile, in the U.S., inflation remains 

And did you know that even a slowdown in inflation can significantly impact your savings?😲

It's true! That's why we’re here, ready to provide you with some practical tips to navigate these challenging times.

We’ll cover some tips and tricks and explain why placing part of your hard-earned savings into precious metals can be a good option during the economic downturn.😌

But before we dive into this, let's first take a closer look at the current inflation situation in the U.S. and the U.K. to provide you with a broader understanding.

Inflation in a global context: the situation in the United States and the United Kingdom

Inflation with a rising arrow

The good news is that the inflation rate in the U.S. has been coming down ever since it reached a 40-year high in June 2022. 

To combat those high numbers, the Federal Reserve began raising interest rates, and we can now see that inflation has been falling down for 12 months in a row. 

But prices still remain high in places like housing and the grocery sector. The Federal Reserve may continue to raise interest rates to keep inflation in check.

And despite the rate hikes, the job market has been doing well, with more people finding jobs and wages going up. So while inflation came in at 3% in June this year, it’s still not at the target of 2%, with prices remaining high.

The graph shows the increase in inflation since May 2020 and reaching a record level of 9.1% in June 2022 and then falling gradually until now in June 2023.

Things are looking bleaker in the U.K.😳

Recent data from the Bank of England indicates that households 

withdrew a staggering £4.6 billion from saving accounts in May

This is the highest amount of withdrawals ever recorded since October 1997.

 It suggests some people use their savings to maintain their standard of living or pay off debts.

 out of other economies, such as Italy, Germany, France, Spain, the Eurozone as a whole, and the U.S.

To help combat such high inflation rates, the 

 to help reduce consumer spending and borrowing. 

And when interest rates rise, borrowing money becomes more costly, making it harder for people to pay off existing debts or access affordable credit. 

As a result, homeowners may need to refinance mortgages or loans to reduce their monthly payments, access lower interest rates, or adjust their loan terms to better align with their financial situation. 

Refinancing can help people better manage their debt and avoid missing loan payments, providing them with some financial relief during challenging economic times.

The House of Commons data shows the U.K. is facing the highest inflation rate out of other comparable economies.

Inflation, deflation, stagflation: what can we expect in 2023?

A man looking through binoculars

The U.K. economy is expected to steer clear of a technical recession but, instead, head into stagflation.📈

According to Schroders, a leading multinational asset management firm, they anticipate the U.K. will experience a period of slow growth for most of this year. 

. However, there is some hope for improvement in 2024, as they predict a 

, indicating a positive sign of economic growth after a period of slow growth.

Over in the U.S.: recession delayed, but challenges lie ahead💪

U.S. economy has been performing better than expected

, driven by a strong job market and increased consumer spending. 

 may lead to higher borrowing costs and reduced disposable income, impacting economic expansion. 

But, it's predicted that a decrease in inflation will allow the Federal Reserve to lower interest rates by 25 basis points, supporting the economy's recovery. However, 

GDP growth is expected to remain stagnant in 2024.

If this slowdown happens, the World Gold Council predicts that: “

gold will remain supported in 2023, especially given its robust performance in [the first half of the year]. But it may not break out significantly from the range we have seen so far this year.

With predictions of slow economic growth in the U.K. and the U.S., let’s uncover what actions we can take to protect our wealth. 

A man trying to balance his expences

Here are 5 practical tips to reduce your spending and save money.

1.   Cut down your spending on groceries🛒

Since the U.S. Department of Agriculture noted that grocery prices have increased, cutting down on your supermarket spending is a good idea.

Having a plan in place will help you save money:

 - Have a weekly or monthly budget to help you reduce unnecessary spending.

- Building meal plans around cost-efficient foods like pasta, rice, or potatoes will help you cut costs.

- A meal plan will avoid impulse buying and take-out during the week.

2.   Plan for more affordable vacations!🌴

While some experts predict that airfare prices for summer 2023 will be lower compared to last year’s peak, the cost of jet fuel is still quite high. On top of that, dining out and hotel rates have gone up, making this year’s vacation potentially pricier than before.

If possible, you might want to consider delaying big vacations for now.

Instead, you could explore attractions and activities in your local area. This approach can save you significant money in the short term, making it easier to embark on your dream vacation later. ✈️

Reviewing your budget as your circumstances change is always a good idea. And with the rising living costs, it might be a good idea to revisit your budget and see where you can save instead of spending.

You might be able to cut back in the following areas:

Gym membership that you no longer use 🏋️♂️

Subscriptions you might have forgotten about 📺

Since everything is quite expensive, it's probably best to avoid taking on any more debt. Since the Federal Reserve increases inflation rates to combat inflation, it will be even costlier and harder to pay off the new debt.

Instead, focus on paying off any existing credit card debt. The debt snowball method can be a great way to tackle your debt.

 is paying off the smallest debt first and then using the freed-up money to tackle the next smallest debt, creating a "snowball" effect for debt repayment. It aims to build motivation and gradually eliminate larger debts.

While many saving methods can’t keep up with inflation, there are ways to preserve your wealth.

Consider the following to hedge against inflation:

Treasury I bonds are a great choice because they're safe, government-backed, and match the inflation rate. But they're not great for short-term savings plans since you'll have to place your money for at least five years, facing charges if you take out the money early.

If you have savings that you plan to use in the near future (short-term savings), you may want to consider putting that money in a high-yield savings account. These accounts offer higher interest rates than regular savings accounts, making them a suitable option for those who want to grow their savings while not actively using them. 

Placing your wealth in precious metals is another great way to protect against inflation. Let’s go in more detail.

Gold, a favored choice to hedge against inflation inflation

A man riding a gold bar

As we’ve seen, the U.K. might be heading into stagflation, while the U.S. economy is predicted to stagnate in 2024. 

In times of stagflation, gold may be a popular alternative for investors. Stagflation creates economic uncertainty because it disrupts the usual connection between inflation and unemployment. It presents a situation where both inflation and unemployment are high at the same time.

And from what we’ve seen historically, gold has tended to perform well during uncertain economic times.

Gold’s historical performance from 1968 to 2023

 or not, it may be a good choice in today’s economy since it can protect and diversify your savings. 

And although investing in gold may not allow for immediate profitability, it has some advantages:

Protects from inflation (because the gold price tends to increase in times of inflation)

Helps you gain freedom from the banking system (that’s if you choose to store it with us 😉)

Limits the risk of losses from market volatility, especially since the

 forecast for the coming months seems to be quite positive

Inversely correlated to the stock market, meaning that gold prices tend to move in a different direction from stocks

After reading about these benefits, you might still be unsure and think that 

gold investment is reserved for the wealthy

, but this is not entirely true. If you’re a beginner investor, you can start with a smaller budget first and then build your savings portfolio. 

The U.K. may experience stagflation, which is a tough economic situation where both prices and unemployment rise.

The U.S. economy is performing better than expected, but rising interest rates may impact economic growth, and GDP growth is expected to remain stagnant in 2024.

Some practical tips to combat inflation include: cutting down grocery spending, planning affordable vacations, and reviewing expenses.

Gold can be a good investment option to hedge against inflation, and investors may turn to gold during stagflation. It also provides investors with diversification.

Gold offers several powerful advantages as a store of value. Discover why more and more investors are turning to this precious metal.

What are the advantages of gold compared to other investments?

A look at the strong changes in demand in the gold sector y-o-y.

A Shift in Gold Demand Trends

Good thing central banks can't print gold. 😉

21.9% Annual Inflation... and Counting

Despite slowing down, the frenzy around silver has kept prices up, and demand for physical bars and coins strong, while doubts over the state of the silver stocks emerge. Is Silver Setting the Stage for a Breakout?

Is Silver Setting the Stage for a Breakout?

We are thrilled to announce that our CEO Alessandro Soldati was invited for an open and lively discussion on a popular YouTube channel Frugalisme et Liberte Financiere.

How to Buy Physical Gold Online in 2022?

17/02/22: The European Central Bank could raise interest rates in 2022, the gold price goes up as tensions over Ukraine resurface, Switzerland lifts most Covid-19 restrictions. And more.

Weekly Digest: ECB Rate Hikes, Gold Up on Ukraine Tensions

Choosing between gold and silver: A comparison to help you decide which metal might be right for you.

Should You Buy Gold or Silver?

Reddit and the Wall Street Silver crowd are planning a new #Silversqueeze. With more coordination and hindsight, will they succeed in rising the silver price? 

#Silversqueeze 2.0?                         

The Federal Reserve’s inflation goals are getting risky and could cause the rate to overheat dangerously if they were to push it too hard.

The Fed’s Dangerous Game

Meet GOLD AVENUE CEO, Alessandro Soldati, in our first Q&A video session!

Q&A with our CEO - Alessandro Soldati

The Fed desperately wants higher inflation that would exceed its 2% target. Will the ECB follow the lead? It looks like it. 

Does the European Central Bank Want High Inflation?

24/02/22: Russia has launched a full-scale invasion of Ukraine, the S&P is in a correction for the first time since the 2020 Wall Street plunge, gold hits a 20-month high. And more. 

Weekly digest: Ukraine Crisis, Markets Shaken, Gold’s Up

Russia’s decision to remove the US dollar assets from its sovereign wealth fund and partially replace them by gold boosts the yellow metal’s importance as a strategic asset.

Russia's New Move on Gold

After yet another central bank starts considering negative interest rates, we’re taking a look at how unlimited debt can impact physical gold investment.

Is Unlimited Debt Good for Gold?

World markets have taken a hit as the Russian invasion of Ukraine spooked investors around the globe. Here’s what you can do right now to protect your investment portfolio and gold savings.

Ukraine-Russia Conflict: What Impact on Your Savings?

You probably noticed certain industries and communities aren’t bouncing back as quickly as others during times of recession or economic crisis. That’s what the K-shaped recovery is all about.

What the K-Shaped Recovery Means for Gold

03/03/22: Markets are on a wild rollercoaster ride, Eurozone inflation at a record high, Russia intensifies its invasion of Ukraine, gold proves itself as a safe haven. And more.

Weekly digest: inflation rising, Russia sanctions, gold gains

You want to start investing but you don't know where to start? Here is a beginner’s guide to investing.

How to Start Investing in 2023? Here's What You Need to Know

The #silversqueeze movement took the investment world by storm and has the potential of shaking up the silver market. Will it be here for the long term?

#silversqueeze

Here’s a rare sneak peek into one of the world’s biggest gold refineries. 

How Do You Make Gold Bars?

10/03/22: Gold and palladium hit a record high, oil records its worst day since November, Biden signs an executive order on crypto. And more. 

Weekly digest: Metals on the Rise, Oil Drops, Crypto Order

In 2021, central banks continued buying gold, with emerging countries stepping up as key net buyers. Do you wonder why? Here’s what you need to know.

Central Bank Gold Buying Explained

With inflation soaring in Europe and the U.S, learn how to navigate higher consumer prices from this great personal finance video from Sorelle Amore.

5 Ways to Protect Your Wealth From Inflation

17/03/22: The Fed has raised interest rates for the 1st time since 2018, one of Brazil’s biggest funds goes for gold, E.U.'s rethinking gas supplies. And more.

Weekly Digest: Fed’s 1st Rate Hike, Gold in Demand

After Russia’s invasion of Ukraine, investors rushed to gold, the world’s oldest safe-haven asset, pushing its price to a new record. Why did this happen? Here’s what you need to know. 

Investor Gold Demand is Booming Right Now: Here's Why 

On August 15, 1971, U.S. President Richard Nixon possibly made the biggest monetary error in history. A video from Libre & Riche will tell you why.

All You Need to Know About the World’s Greatest Monetary Catastrophe

24/07/22: The U.K. hit by the worst cost-of-living crisis in decades, Powell finally admits inflation is “much too high”, European stocks drop. And more.

Weekly Digest: Cost of Living Crisis, Inflation Problem

The U.S. Federal Reserve has announced its first interest rate hike since 2018. What could this mean for the gold price? Here’s what you need to know. 

How Interest Rate Hikes Affect the Gold Price

31/03/22: European inflation soars to new heights, Russia resumes gold purchases, no breakthrough seen in Ukraine war despite renewed peace talks. And more. 

Weekly Digest: EU Inflation Runs Hot, Ukraine Peace Talks

It seems that the ongoing US presidential election has not changed the situation in the gold market so far as the macro backdrop remains quite favorable to the yellow metal.

Trump + Biden = Gold?

Do you want to buy gold bars but are not sure where to start? Here’s what you need to know to build your precious metals portfolio in a smart way.

How Do You Buy Physical Gold Bars? 

The backdrop of global inflation in the U.S. and Europe was already worrying. Now, Russia’s invasion of Ukraine is making the situation even worse, including sending gas prices soaring to record levels. Here’s what you need to know.

Here’s How Rising Gas Prices and Inflation Fuel Each Other

07/04/22: More and more people are worried about rising consumer prices, experts think the U.S. recession is inevitable, cryptocurrencies are facing some privacy issues. And more.

Weekly Digest: Inflation Worries, U.S. Recession

It looks like stagflation could be here soon. Here’s what you need to know to understand the economic phenomenon that stifled growth through the 1970s.

What Is Stagflation and Why Should We Worry About It?

14/4/22: U.S. inflation hit 8.5% in March, the highest since 1981, EU ban on Russian gas could spark a sharp recession in Germany, Ukraine peace talks “at a dead end.” And more.

Weekly Digest: U.S. Inflation at 40-Year High, German Recession Risk 

Leading world banks say we should get ready for a new recession shock. What does it mean exactly, and what investments might be the best place to stash your hard-earned money?

Recession Risk is Rising, Economists Say. Here's What It Means for Investors

21/04/2022: The IMF cuts its global economic growth forecast, UN says the war in Ukraine could create a global food crisis “beyond anything seen since World War II,” Macron and Le Pen fight for the presidency. And more.

Weekly Digest: IMF Cuts Growth Forecast, Hunger Threat

If you are a parent, you probably want to find the best way to set your kids up for financial success. Here’s how your gold savings will help you start building their lifelong wealth.

3 Ways Gold Savings Can Benefit Your Children and Family

Easy is always right. Especially when it comes to buying precious metals. If you still don’t know what’s the easiest way to buy gold, you’re in the right place.

The Easiest Way to Buy Gold and Precious Metals

28/4/22: Russia halts gas supplies to Poland and Bulgaria, the Fed is set for more aggressive rate hikes to tame inflation, Musk seals the deal to buy Twitter. And more.

Weekly Digest: Russia’s Gas Cutoff, Musk’s Twitter Deal

If your children are the lucky ones to get a hoard of gold as an inheritance, there are 4 things you should do before passing it on to them.

4 Things to Remember When Buying Gold for Your Children

04/05/22: The Fed is set to fight inflation with the fastest rate hikes in decades, Fitch trims China’s 2022 growth forecast amid Covid-19 lockdowns, two Argentinian banks will allow crypto trading. And more.

Weekly Digest: Fed Rate Hike, Cuts to China’s Growth Forecast 

Here are the 4 handy tips you can immediately put into practice when buying physical gold for the first time.

How Do You Buy Gold? A Beginner’s Guide

Swissmint made history as they issued their first-ever 50-franc Vreneli gold coin on May 11, 2022, making a very special coin even more popular in Switzerland and beyond.

Swissmint Issues a New Limited-Edition Vreneli Coin

12/05/22: U.S. inflation stays at a 40-year high, defying expectations of a bigger drop, crypto and stocks fall, reacting to the U.S. inflation data. And more.

Weekly Digest: U.S. Inflation, Stocks, Crypto Crash

The end of Bretton Woods seems to be an essential reason behind the widening of the productivity-pay gap that reveals gold's influence as a source of stability.

What is the Productivity–Pay Gap?

A quick overview of the performance of gold versus some of the major commodities for the first half of 2020.

🔥 Gold VS Commodities 🔥

You read in the press that persistently high inflation has finally peaked and should be going down soon. But the latest CPI numbers show it might not be entirely true. Here’s why.

Has Inflation Peaked? Here's What You Need to Know to Understand Inflation

19/05/22: U.S. stocks post the biggest daily drop in almost two years, Sri Lanka default hints at troubles ahead for developing nations, E.U. slashes growth forecast. And more.

Weekly Digest: Dow Tumbles, Food Inflation Getting Worse

Since the start of 2022, the stock market has been on a wild ride, while gold was close to hitting a new record high in March. Which has performed better so far? We guess you already know.🙃

Gold Price Vs. Stock Market: 2022 Edition

While the Fed is taking a dovish stance, investors are fearing a real rise in inflation in the near future.

Is the Fed Moving Too Slow to Counter Inflation?

25/05/2022: U.S. stocks slumped again amid economic data, the global food crisis risks causing a “messy” migration in Europe, Bitcoin could fall to $8,000. And more.

Weekly Digest: Stocks Slump, ‘Messy’ Migration Risk in Europe

Have you been thinking of investing in platinum bars and coins? Here’s what you need to know about one of the world’s rarest precious metals.

Investing in Platinum: A Beginner’s Guide

02/06/22: The Eurozone inflation hits a new record high, JPMorgan Chase CEO warns of the economic hurricane, EU leaders agree to ban most Russian crude imports. And more. 