Gold a good bet with build up of inflationary pressure

With the gold price having shot through US$500 (£288) per ounce and holding its ground, the scene is set for further gains in one of the few assets globally that is trading at similar levels to 25 years ago. What is key is the future actions of China and Japan, both of which hold little more than 1% of their reserves in gold. In the 1980s they held 50% and 20% respectively. The fundamental case for gold is that it is a store of value - for at least 200 years, the precious metal has kept pace with inflation. From 1980 to 2000, central banks succeeded in controlling inflation, such...