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Thursday, February 4, 2010

Gold is Falling

How low will gold prices spiral to when the bubble bursts?
Published on Wed, Feb 03, 2010 at 15:13 | Updated at Wed, Feb 03, 2010 at 17:28 | Source : Forbes India

Gold is a very difficult asset to call. People bought gold when the world economy was riding on the commodity boom and they also bought gold as the financial system crashed and burnt in 2008.

With gold hovering at USD 1100 an ounce, is it time for the gold bubble to burst? And if does what’s the bottom for gold? Our take is it will settle at USD 700 an ounce, the five year average for the gold metal.

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