I think POG is going to rise in all currencies. So if as is the case at the moment Gold is rising in USD but in AUD its dropping due to exchange rate I think in the longer term POG will rise quicker than exchange rate will remove gains. I do see the period between now and August as a good buying opportunity.
I think the inflation play is a little way off yet because though the USD printing presses are running fast, they are not running fast enough to keep up home prices in the US. Money destruction is happening as fast as they can print it.
For me its when house prices rise, employment rises, profits are genuine and good that the inflation will suddenly become the issue. Good news will be bad news if you know what I mean. Then 20% interest rates or hyperinflation.
The cynic in me still thinks they are going to let BofA or Citi Bank go under to stop the drop in the USD and create andother round of fear and bond buying.
