Thursday, August 26, 2010
But experts warn that the bubble could burst all too easily
Predicting the price of gold can trick even governments into making mistakes. Gordon Brown famously lost out by selling large chunks of the UK's gold reserve between 1999 and 2002, getting a lowly price of between $250 and $300 an ounce â€“ making his decision to sell a costly one. But investors with the Midas touch have made a fortune in recent years. "Currently you can drive a bus through where experts believe inflation will be, but there are enough in the deflationary camp at this point of time, which will impact on the value of gold as the price will fall if we have deflation."