Gold Is Setting the Records Nobody Wants

Gold in on a course to have the worst quarter on record, and possibly even the worst week on record. With gold dipping below $1,200 per ounce and the SPDR Gold Trust (NYSEMKT: GLD  ) off nearly 30% already this year, the yellow metal has been plagued by a flow of weak economic data. The result of the shifting global macroeconomic environment is that the two primary motivators of gold buying over the last several years have disappeared.

In the following video, Fool.com contributor Doug Ehrman discusses some of the factors affecting gold at current levels and where the commodity might be headed from here.

Gold has outshined the stock market with strong returns since 2000, but more recently has given way to big declines. The Motley Fool's new free report, "The Best Way to Play Gold Right Now," dissects the recent volatility and provides a guide for gold investing. Click here to read the full report today!


Read/Post Comments (12) | Recommend This Article (5)

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  • Report this Comment On June 30, 2013, at 9:47 PM, FiatDebtHolder wrote:

    Sideline for gold? Buy low now? Or buy from the Central Banks that are accumulating at new historical rates?

    What is the world's entire gold market divided by just the US Debt spending since 2008?

    still believe in the wizards of the FED can resurrect the economy with tens of trillions of new money? What isn't working now will result in more of what is not working. Inflation vs Loss of Confidence in debt instruments could have the same result.

  • Report this Comment On June 30, 2013, at 10:04 PM, summersnowflake wrote:

    Warren Buffett is right all along - Gold has no intrinsic value. It's not a productive asset like stock or even other commodities which have practical usage. Gold is only valuable as long as there is another person who is willing to pay a higher price.

    So, do not be fooled by "experts" who try to convince the market that government has gone crazy printing money. Fiat money has no value. Only gold preserves value. That's exaggerating the facts and preying on people's fear. They probably have hidden agenda anyway. Don't listen to them.

  • Report this Comment On June 30, 2013, at 10:22 PM, cieara wrote:

    At the peak of gold price last year, I tried to sell some of the gold. To my surprise, there is no real buyers, banks do want it, local gold buying service only buy junk gold at soda can price. Pure gold bars were impossible to sell.

    For all that big noise on gold hypes, the trade in gold probably is one new scheme that looks like something but only the insiders are making money off it.

  • Report this Comment On June 30, 2013, at 11:01 PM, 1library wrote:

    If you're so afraid about the economy that you're buying gold, remember that a silver coin can sterilize gallons of water in 24 hours......just a thought that may save lives.......

  • Report this Comment On July 01, 2013, at 12:15 AM, bocacassidy wrote:

    Ehrman's statement is absurd ...Upcoming events will demonstrate that perception with alacrity

  • Report this Comment On July 01, 2013, at 2:25 AM, Rick85015 wrote:

    I can remember when Gold was $35.00 per troy ounce. I guess King Obama has been busy destroying the World econmay. Keep it up will be behind a horse or mull, plowing the fields.

  • Report this Comment On July 01, 2013, at 2:47 AM, kcimos wrote:

    rick,

    when was gold $35/oz?

    august 1971.

    &

    When Obama was first inaugurated in Jan 2009 Gold was $850 an ounce.

    so yeah blame Obama for everything.

  • Report this Comment On July 01, 2013, at 3:55 AM, Fooloprunes wrote:

    Even referring to gold as a "commodity" is a joke. Gold is a speculation, and it's price bears no connection with anything other than sentiment.

  • Report this Comment On July 01, 2013, at 6:51 AM, shineridge wrote:

    Motley Fools must be SHILLS for the liberal Elite. Gold is REAL, money. Always has been, always will be. Gold is down because its been FORCED down thru CRIMINAL manipulation Period. If Gold has really lost its value, WHY have Central Banks been bying it like mad ?? Why have some GOVERNMENTS been snatching it up ?? Why have a number of BILLIONAIRES been buying Gold ?? At the same time these billinaires have been buying Gold, they've been DUMPING stocks !! Also, people in China have been linening up in LONG lines to buy Gold. In places like India, I understand people are also snatching up Gold. ALL these folks KNOW Gold is a GREAT buy.

  • Report this Comment On July 01, 2013, at 7:45 AM, geezer1215 wrote:

    when we went off the gold standard , my farther , said that any money , with no value will be spent , like it has no value . Gold is only good to back up a monitary issue .

  • Report this Comment On July 01, 2013, at 8:46 AM, Whygold wrote:

    I want this and I guess every citizen of this world want this as well. The spike in gold price was artificial and was created by some master minds to make the money. It should come back to its real value. No wonder - big fishes had already made big money - so this is the time to see the things back to its real value like housing market... I'd like to see the greedy richs to go bankrupt and middle class to grow. There are a few selfish people who made millions of Americans to suffer Bcoz of lack of ethics and human values.

  • Report this Comment On July 07, 2013, at 8:42 PM, Fooloprunes wrote:

    @shineridge - Thank you for proving my point. You have been hypnotized by the luster of gold. Unless you want to get your azz seriously kicked by the big-boys, you would be wise to get out now.

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