One factor behind a rise in inflation is often a rise in the price of oil. But currently, we are seeing just the opposite. The price of oil has been dropping rapidly, thereby lowering our cost of living. This trend is likely to continue for some time and when the rate of inflation is not likely to rise, there is less interest in holding gold.
Here is a story from the Bloomberg agency from last Saturday which makes clear the relationship between the current falling oil prices and the falling gold prices