Roger Altman, the former U.S. deputy treasury secretary and current chairman and founder of Evercore Partners, an investment banking advisory firm, appeared on CNBC June 26 and gave his opinions on why gold has been down in the markets.

Altman explained, “Gold is down because the economic outlook is up. Deflation fears really are over.”

He repeatedly emphasized that gold was seen as a safe haven against deflation: “You could certainly argue that three years ago we might have faced deflation.”

With the change of the current market situation, Altman said, the drop makes sense. “With interest rates rising, gold should be down.”

Take a look at what he had to say in the video above.