2. Over 50 countries are now experiencing double-digit price rises. Ukraine is now at 29%, and in the Gulf states inflation is out of control. Russia is at 15%, and India is close behind at 11%. China is on the cusp, at 7%. Interest rates are still below inflation rates in much of the emerging world.

3. The supply/demand picture for gold is getting tighter every month… Older mines are playing out, rising costs threaten the marginal operations, and large new deposits are simply not being discovered. Yet demand in all categories is up – industrial, jewelry and investment. And the potential for investment dollars to flee to gold is tremendous; consider that the sum total of the world’s paper financial assets (including equities, bonds and bank deposits) equals US$74.5 trillion. Yet the value of all physical gold held by private investors and central banks is just US$1.1 trillion. A mere 5% of that going into gold would be $3.725 trillion. What do you suppose that would do to the gold price?

The Gold Mania is nigh. In fact, our research shows this is the last summer you will be able to buy gold for 3 figures. Do you have enough? Perhaps the most transparent way to find the answer is to ask: will you feel like you bought enough gold when it’s selling for $2,000 an ounce?

Jeff Clark is the editor of BIG GOLD, a Casey Research publication focused on the safest ways to profit from the current bull market in gold.

[Editor’s Note: Learn about profitable investment strategies in times of crisis - get a free copy of Casey Research’s special report: The Recession Tool Kit - 9 Winning Strategies to Profit from Crisis.

Source: Why the Mania Phase in Gold May Be Upon Us

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