Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"Gold prices up modestly as dollar slips"
Author: Sara Lepro
Website: Google.com
Main Points: Gold for June delivery was up $5 to finish at $926.70 an ounce, thanks to a weakened dollar against other currencies.
Although gold is a popular investment as a hedge against inflation, it is not clear when that value will be realized.
"The longer the interest rates are at these levels, the more likely and the more ferocious inflation is going to be down the road," said Matt Zeman of LaSalle Futures. "But again, until that comes to a head I don't expect to see a real big pop in gold."
Analysis: As the dollar weakens, the expert opinion seems to be that inflation and the resultant rise in the gold price are inevitable. It's simply a matter of when. It could be weeks, months or years. Many investors trade month to month, week to week or day to day, so they are simply not patient enough to wait around for inflation. Hence, the lack of momentum in the gold price.
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