Bill Bonner, President of Agora Publishing and writing for The Daily Reckoning, UK Edition, takes advantage of the holiday lull to examine the current state of gold – amidst all its ups and downs.

Bill Bonner, resident voice of reason and chief columnist for The Daily Reckoning, UK Edition, analyzes this past week’s actions in the gold market, including its relationship to U.S. stocks activity.

Resident GoldBug at The Daily Reckoning, UK Edition, Bill Bonner offers his analysis of gold, the stock market and the end of the depression.

The Chinese government is telling people gold and silver are good investments that will safeguard their wealth. After last year’s meltdown in the stock market, people believe it. After all, Chinese citizens don’t receive government retirement money… and they don’t have company pension plans like people in many other countries do.

Theo Casey, Investment Director of The Fleet Street Letter and member of The Right Side editorial team, discusses the merits of gold, the bull’s run, and how to get in on the action.

If we’re right about where the price of gold is headed, the general public will someday clamor to buy all things gold. While gold stocks will be where the real leverage is, the rush will start with gold itself. As a gold editor, I have a very natural question: is there enough to go around?

The trouble with being a contrarian is that you can never be quite contrarian enough.

“Gold is rising because the post-Breton Woods exchange rate system doesn’t work,” Eric Roseman, our colleague over at the Commodity Trend Alert, matter-of-factly declares. “More than ever, governments are piling up debts, as a result of bailing-out their respective banking systems. There is a price to pay for this profligate spending. And gold sniffs trouble.”

This week, the big story was once again coming from the gold market. Mid-week, the yellow metal hit $1020 – but the rally was not of the usual variety. Generally, investors flock to gold when the dollar is weak and inflationary fears run high. But as we all know, inflation is not a problem right now – despite the Fed’s best efforts.

Gold took off yesterday…closing at $1020. Here at The Daily Reckoning, we’re impressed. But we’re not that impressed. Gold, of course, is half of our Trade of the Decade, which we announced almost 10 years ago. We’re bullish on the metal…have been for a very long time. But recent comments in this space have made readers wonder what the Hell is going on…so we will spend a few minutes clarifying.