In 2021, the major theme in markets has been relation, i.e., higher growth and higher inflation. However, gold has received little love during this period. Why? This is because gold, unlike other commodities, has significant currency characteristics and is far less procyclical than other commodities. Gold demand is usually for its value as a store hold of wealth, which can be compared to other currencies. Over extremely long periods of time, gold has performed well as a store-hold of wealth, particularly as interest rates in developed economies have fallen. This is because the opportunity cost of holding gold is the real interest rate available in fiat currencies. In 2020, global central banks cut their interest rates to near-zero levels, and as inflation began to creep up- gold was a desirable proposition. However, as growth began to rise and opportunities to invest elsewhere once again became viable, the demand for risk increases and the demand for safety reduces- hence, gold has seen a significant decline from its all-time highs. If reflation continues, gold will likely remain unloved and vice-versa.