+1 for last two posts. One would have to be out of their minds to think there is a gold bubble at the moment. Gold is highly valued because the monetary crisis going on all over the world and there are no signs of it getting better in the short term.
And to be honest, gold value is not really that high yet. The inflation-corrected value of gold has been higher and I think we will most certainly reach $2000+ this year and probably $2500+ at some point next year.
Gold is already recovering very fast from the retracement.
Gold is highly valuable because Glen Beck says so! And Glen Becks always right god dammit! And to be honest, gold value is not really that high yet. The inflation-corrected value of gold has been higher and I think we will most certainly reach $2000+ this year and probably $2500+ at some point next year.
Gold is already recovering very fast from the retracement.
Well, I agree with your implied sentiment that gold being highly valuable is fundamentally silly, but that doesn't mean it won't continue to be highly valuable (quite possibly increasingly so) for decades more if not centuries. There would need to exist an alternative asset with the same scarcity, fungibility, durability, etc, qualities, that cause gold to be used as an anti-fiat store of value. Honestly, bitcoin (or something like it) probably comes closest to duplicating this role, despite the fact that bitcoin is designed for transactional utility, not store-of-value utility. In any event, overcoming the historical inertia of gold will take quite some time, even if a truly suitable alternate exists.
