May 25, 2021 Guest(s): Steve Hanke Professor of Applied Economics, Johns Hopkins University
Steve Hanke, professor of applied economics at Johns Hopkins University, created, in collaboration with his colleagues, a sentiment index for gold.The index works by using a computer algorithm scan media articles online and screen "bullish" or "bearish" keywords.Bullish words include "inflation", and "quantitative easing" while gold bearish terms could include "strengthening dollar."Hanke told David Lin, anchor for Kitco News, that the sentiment index, which has usually been a leading indicator for price, is at very bullish levels right now.