T/A ETF AND INDEX

[capt_jmj]

This is a very eye-opening chart, but the story it tells is not quite the whole picture. In that gold (and other commodities as well) is a market unto itself, the important question is, is the price of gold up the same percentage over the same time period as the value of the dollar is down? In other words, the value of gold in dollars is not only a function of its intrinsic value relative to the dollar, but also its speculative value. It is the latter that you have to be cautious of before you make a headlong rush to it as a hyperinflation hedge. Have you wondered why gold is being so hyped on TV lately? It isn't because it is cheap. It might not be a bad plan, however, to average into it over time.