[2.70Racer]

I have bought and sold gold over the last several years and I've learned a few things along the way.
First, unlike stocks, the value of gold has never gone to zero.
That said, the value of gold is in it's relationship to the dollar for American investors.
From my point of view buying gold is a bet against the US Dollar as well as a bet against the US economy. However these two aren't necassarily related.
Further gold is a world commodity.
Countries like Russia hold very large quantities of gold, which can be put on the world market at any time pushing down the price.
I first bought gold shortly after the stock market tanked, when was it, October 2007.
I had got out of all stocks and mutual funds, no thanks to those at Merrill Lynch.
I was concerned at that time that this wasn't going to be an ordinary recession.
Unfortunately for most investors, the boys in the silk suits paid to advise investors kept their mouths shut.
Shame on them. Jail is too good for the buk of those thieves.
Anyway, gold made its move upward from $600 an ounce to touch $1,000 briefly.
This took place over several months, I don't have the exact time frame available to me.
Since then gold has been wallowing around the high $800's to the mid $900's.
I suspect many people, including myself, have decided this recession is not dropping into a depression.
I have in fact been out of gold for over 6 months.
Gold still may make a run when the predicted inflation rears it's ugly head.
I feel the real inflationary run is still at least a year or more into the future.
In the meantime I'm in the stock market and I'm happy to report I have done quite well.
I'm listening and watching things carefully, gold is still a smart play if the world economy slips and/or the US dollar hits the printing presses bigtime.
Unfortunately any real conflict between nations could also drive me to gold.
I see gold as my insurance policy, when things around me look dark.
It's not going to make me wealthy, but it will hold me and my family through hard times.