But what about the case of gold as an investment? There are five predominant scenarios, which are not true, according to analysis of CNNMoney.com. First, inflation is an imminent threat and, therefore, gold offers better protection than shares or bonds. The truth is that the price of gold is growing. However, consumer prices did not rise, at least for now. The massive government measures could certainly trigger inflation. But there is something true in a time when consumer demand for goods and services are so low.

Second, many believe that gold is real and palpable, as opposed to shares, and thus retains its value. The truth is that gold prices began to recede in the fourth century, before the recent record rally. Thirdly, there is a perception that, despite the spectacular rise, gold is still cheap based on historical standards. The truth is that gold is not so cheap. Fourth, after the decline of the dollar, the demand for gold will take off. But even China’s concern about the excessive price rises. Some, consider that changes in the balance of the global economy are those which led the gold is soaring. Fifthly, the “smart money” buys gold and therefore should do the same investors. The truth is that only a very small part of the most successful investors on Wall Street today is investing in gold.