Gold has been on an uphill rise since the economic crisis of 2008.
The Stock, real estate, and mutual fund markets have been nothing but volatile since that time frame. Gold has been viewed as a safer refuge for one's money since then.
The gold price today is nothing but a reflection of supply and demand. Since 2008 there have consistently been more buyers than sellers. This means that more people want gold, which in turn raises the price a seller can ask for it. This constant and consistent formula has raised the price by almost 700 dollars per ounce.
The correlation between the surging price of gold and the downfall of the world economy is an inverse relationship. Within a stable economy the price of gold goes down. click here to see how it is affecting various parts of the world.
The sad thing about the price of gold and its success is how it gets to that point. For gold to be on a surge or price climb like it is, the world's investors must not have faith or confidence in most other investment vehicles to see these amounts of gains.
When investors lose faith in business and take their money and put it into gold, essentially they are taking that money out of circulation. This limits the amount of capital that businesses and entrepreneurs have to expand their business. This means less money to find ways to bring more profits and more employees into the fold.
