SandyBeachs, investors have been moving into gold since...

SandyBeachs, investors have been moving into gold since 1999/2001 as more and more people realise that currencies are losing their "store of value". This store of value can be measured by the real interest rate, i.e. interest received for your savings minus inflation. Events of the past 12 months have only accelerated the existing trend. The bull market in gold will end when either 1) faith in currencies is restored with much higher interest rates aka Paul Volcker, perhaps some type of gold backing instead; or 2) we have a flood of new gold supply hitting the market, aka 1980-2000, through much higher gold prices or new exploration/mining/processing technology. For example, CIP/CIL was invented in the late 1970's, which transformed the industry making bulk open pit mining viable.

IHMO.

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