Gold on front page of NYT (and same story in other news media) is why I dumped all my gold several months ago.

I’ll risk later ridicule and make three predictions:

1) Gold will hit $800/ounce before it hits $2000/ounce.

2) When that happens – probably within 12 months – then I’ll back up my truck and load up portfolio with gold.

3) Within five years we see $3,000/ounce.

We are still in a strongly deflationary recession with deflation about to enter nasty second leg down. I say you do not want to hold gold in near term.