Great news this morning for those who bought gold years ago -- it blasted through $1,000 an ounce. Is it heading to $2,000? That all depends on why gold is rising and whether the trends that boosted its price will continue. Alas, that's where the whole case for gold kind of falls apart.
Sure there are "explanations" for why the price of gold goes up, but the reality is that the price will rise as long as the demand for gold exceeds its supply. Regrettably, reliable, real-time data on gold demand and supply -- taking into account all the actions of gold miners, traders, options players, central banks and all the other market participants -- is not available.