The graph shows gold price since 1960, adjusted for inflation of the US dollar. It shows that (adjusted for inflation to 2009$) it peaked in the early 80s at about $2356, then dropped to bottom out in 2002 at about $300. Since then it has quadrupled, and the gold buffs keep predicting it will double again, their argument being based mostly on Quantitative easing reducing the values of western currencies. I wonder why it dropped so far; does anyone have any suggestions?
DHS 14 Sep 2010 —Preceding unsigned comment added by 81.152.132.43 (talk) 14:11, 14 September 2010 (UTC)
- Do you mean why the price of gold dropped so far? Pretty easy: when the market's roaring you'd rather have your money in it, turning a profit, than stuck in a chunk of rock. Cash itself is a pretty meaningless investment; the inflation rate doesn't matter too much as long as the market's keeping up. Investing in gold is best thought of as a hedge against a downturning market. That's why people pushing gold tend to be doom and gloomers. --Kevin Saff (talk) 03:56, 20 November 2010 (UTC)
