Gold and particularly silver are down sharply today. Gold and silver are about at the same point as in the beginning of the year and April 2006. Volume at futures exchanges was large. It was like traders got scared that their gold would catch rust. I estimate that the high volume was due to fundamentals, value and de hedging.
Dow Jones /Gold ratio making new highs, inline with recent out performance of stocks vs. gold. My opinion is that Higher gold price will be necessary for the continuation of the stocks bull market.
Some of you might want to read this article : Booms Were Made to Go Bust(Robert Kiyosaki)