Sean Corrigan suggests that the huge amount of liquidity in the global system could make the gold market the subject of another of the many 'asset bubbles' that we see in the world today:
"This is a world... in which an asset such as gold may justifiably rise to match the increase in the quantity of paper money — but it is also one in which such an asset can itself become the medium within which easy money incubates yet one more bubble, as may have happened sometime in the past nine months."
Bill Murphy has a very different view:
"The reality regarding gold is the REVERSE of a bubble. It is about a [short] position which cannot be covered at these price levels." (Slightly amended)
This is an intriguing difference of views made all the more difficult to choose between in light of Antal Fekete's recent articles!
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