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Everyone wants to know where the price of gold is going: whether it is at a high right now (and to stop making any purchases until it comes down again), or whether we are at the start of a huge rise in its value, and you must buy as much as you can before the price gets any higher. Jon Nadler, an analyst at Kitco, has addressed this issue in a question and answer session, in the context of the present state of the word economy. Though persons speaking for companies which are in the business of selling gold are not always the best source of investment advice, the session is extremely insightful and helpful. Basically he argues that rumors of the death of the dollar are not to be given any credibility,(and no Mad Max scenarios either) but there is no harm in holding 10-15% of your assets in gold - it is liable to hold its value better in a deflating economy. He also gives the clearest explanation I've read of why there has been such a premium recently on gold coins - the mints were geared up (in equipment terms) for a certain volume of production from year to year; when the economic crisis hit and the demand for gold coins soared, they simply couldn't make them quickly enough to meet the increased demand. Since new gold coins were scarce, the price went up. Premiums have come down again recently. Read the whole session here.
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Gold Coins blog 
