New Jerseyans among the most worried about inflation, reveals study.

• Analysis of online searches for gold shows New Jerseyans are trying to inflation-proof their savings.
• Mainers are the most worried about inflation; Oregonians the least.
• Infographic showing Google search data for gold.

the staff of the Ridgewood blog

Ridgewood NJ, while over the past two years, it would have been nigh-on-impossible to go a full 24 hours without mentioning the word ‘covid’, it appears other words, such as ‘inflation’ and ‘gas prices’ have now replaced the dreaded coronavirus and made their way into everyday lexicon. A study commissioned by CouponBirds, a provider of consumer information to do with real-time deals and savings, revealed the extent to which inflation is worrying everyday Americans, and the steps they are taking to insulate themselves from rising prices.

America’s New Gold Rush? The company analyzed Google search data across the nation, uncovering trends in searches for ‘gold stocks’. These results were then broken down by state to find out where people are most and least worried about inflation, by looking to potentially invest in the precious metal which is widely assumed to be more inflation-proof than most assets. 

The research revealed that when inflation surged to 8.5% in March this year (a jump of 0.6%), there was a simultaneous 32.4% spike in online searches for ‘gold stocks’ from worried New Jerseyans. This compares to a national average of 33.7%, making New Jerseyans among the most concerned about the effects of inflation on their savings in the country.

A closer look at the data… When these search statistics were broken down by state, the five most concerned states were:

1. Maine

2. New Hampshire

3. Delaware

4. West Virginia

5. Massachusetts

 

And the least concerned states were:

50. Oregon

49. Rhode Island

48. Idaho

47. South Carolina

46. Missouri

 

‘Our research is evidence that people are trying to reinforce their finances and protect themselves from further inflationary pressures, and it’s no surprise given its shockingly exponential increase since last year,’ said Tricia Smith of CouponBirds. ‘Americans appear to be looking for hedges against inflation in different ways – gold stocks being one of them.’

Infographic showing ‘inflation-proofing’ in each state

[Why do people flock to gold when there is high inflation?

Gold is a physical and real asset, which is why it is often considered an ‘alternative currency’. However, experts have warned that gold’s record in protecting investors from inflation is spotty, and that there is no guarantee that gold will generate above-average returns during periods of high inflation].