Neubarth
At the Ballpark July 30th
Maybe gold isn't in a bubble. Maybe it's dramatically undervalued and should be priced at $6300!
SocGen On Gold Mania, And Why Gold Is Very, Very Cheap | zero hedge
As I have told people for the past quarter of a century, Gold is worth what people will pay for it. It has value as jewelry. It will never be used as money in the modern world as there is not enough of it to guarantee the currency of any of the major players in the world arena.
As in the past, I have postulated, "If a currency is truly backed by Gold reserves then that currency is exchangeable for those reserves. If so, all of the gold could be taken in exchange for that paper money if a panic starts. In that case, would the paper money have value?" Gold backing of currency is simply not viable. Backing a currency by the industrial might and productivity of a country is.