I like gold. Don't we all? I do not think it is all it is cracked up to be but I do like it. My late brother-in-law touted its virtues to me on a regular basis. He invested in it regularly; gold coins, mostly. I admit, it was a good investment when gold was under $1000 in the last ten years or so. But I recall the last time there was a "run" on gold. Back in the 70's. I think it peaked at around $840... for a very short period of time... and then dropped quickly.
People repeat the myth that gold is a hedge against inflation. I call that a myth because that is exactly what it is. Let's say you bought gold back when it was $800 in 1979 or 1980. Gold would have to cost $2490.86 today for it to have kept pace with inflation. Don't believe me? Try this site and see for yourself.
Take a look at this chart I found at Wikipedia (you can click on it to enlarge it):
Still, gold fascinates people. And corrupts them.
They have a new theory about how gold deposits form. It's interesting and suggests an explanation of the large gold deposits in California and Alaska.
Earthquakes Turn Water Into Gold
The title is not simply misleading, it's an outright lie. But it is an interesting theory.
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