The price of gold is crashing. Gold futures have dropped more than $200 in two sessions, the biggest decline in such a time frame since 1980. The reason is the decrease in global inflation, reducing gold’s value as a hedge against rising prices. For consumers struggling to make ends meet, it may seem hard to believe that inflation is falling, but the evidence is clear from JP Morgan Chase’s global consumer price index, which indicated global inflation peaked at 4 per cent in 2011 and has fallen steadily since. Global prices in February were up only about 2.5 per cent from a year earlier, according to the bank’s index. Last week Goldman Sachs warned that the retreat in gold was accelerating after the longest rally in nine decades. It seems that the era of gold being perceived as a safe haven may be over for now.