While most of the mainstream media readily announces new “highs” for the
price of gold, The New York Times just published an article
denouncing such statements.
From the story: “The actual record was set 30 years ago, when the price
of gold, in today’s dollars, hit $2,387, or 71 percent higher than it
closed on Tuesday.”
It’s important to remember that gold’s price has much further to run
before it matches inflation adjusted highs set in 1980.
Many investors might be wondering if gold will meet or surpass that
$2,387 number – but as The New York Times story points out, gold is “a
hedge against a weak dollar, not a hedge against inflation.”