Quite ill informed view imo. Asia is where the real demand is & that is mostly physical. Western ETFs are still selling however it has slowed dramatically & I expect to turn to net buyer before the year is out & possibly as early as November.
CBs are also buying & there is talk of a physical shortage in India looming.
QE is clearly not working well perhaps minutely, however for the amount of issuance its very inefficient & has undetermined risks associated with it. If QE remains, gold goes up. If QE is chucked out equities that have been artificially propped up will tumble & again gold will go up.
The downside risk to gold is if we see a dramatic up-tick in the US economy. No sign of that yet.
