Should be such a simple concept. Not for most though.
Explain, then, the collapse of gold prices following the 1980 or so peak. It could be had for around $250.00/oz in 2000, I believe. Was this deflation? No, it wasn’t. It was a combination of loss of demand, due to economic fears easing, and increase in supply due to central banks selling.
Gold is a traditional safe haven in times of economic trouble. We’re in a time of economic trouble. Such times do not last forever, and neither does an elevated price for gold. It’s not a good longterm holding.
Cherry-pick the window in time to demonstrate how poor of an investment gold is, like certain fans of Ben Bernanke and the Federal Reserve are wont to do, and you get one impression. That impression isn’t untrue, it’s just misleading due to painting an incomplete picture.
Cherry-pick another window in time to demonstrate how great of an investment gold is, like certain champions of investing in precious metals are wont to do, and you get another impression. That impression isn’t untrue either, it’s just misleading, again due to painting an incomplete picture.