Normally international gold prices rise on the back of a weakening dollar. Currently, while the dollar's weakness continues to push up gold, the dollar has strengthened against the rupee. That is why Indian prices are higher than the world market. It is a pure currency play," says analyst at Fund Management traders asso.
Alarming US debt of $16 trillion USD and growing fast at the galloping rate of about $125-$130 billion per month or about $4.33 billion per day. Japan is in no better shape with extremely high debt. Just like the housing bubble burst unexpectedly on the world in 2008, this debt bubble will explode very soon. When that happens, people, Governments, Central Banks, investors and companies will rush to Gold to protect their savings and balance sheets. My forecast of Gold hitting $5,000 to 7,000 an ounce may then turn out to be too modest and Gold may zoom even higher than what I am predicting.
Alarming US debt of $16 trillion USD and growing fast at the galloping rate of about $125-$130 billion per month or about $4.33 billion per day. Japan is in no better shape with extremely high debt. Just like the housing bubble burst unexpectedly on the world in 2008, this debt bubble will explode very soon. When that happens, people, Governments, Central Banks, investors and companies will rush to Gold to protect their savings and balance sheets. My forecast of Gold hitting $5,000 to 7,000 an ounce may then turn out to be too modest and Gold may zoom even higher than what I am predicting.
