That's the gist of a
Barron's story, excerpted in BeforeItsNews.com with the title "
Bullish on Bullion."
A recent study by GoldMoney.com, which enables online cross-border transactions using gold as a currency, found that from 2000 through 2009, gold rose an average 10.1% a year versus the Swiss franc (which turned in the best of the bad showings by the currencies studied) to 14.9% against the U.S. dollar (a middling performer) to 20.0% for the Sri Lankan rupee (the worst in show).
"Gold isn't going up, currencies are going down," says James Turk, GoldMoney.com's founder. "The purchasing power of gold remains basically unchanged against commodities. In contrast, the purchasing power of national currencies is being constantly eroded."...
The rest of
the Barron's story contains Turk's reiteration of his $8,000 price target for gold, which he expects the metal to meet between 2013 and 2015. A contrary view is provided by Ashraf Laidi:
Gold recently hit a new high against the euro, which is reeling from the Greek debt crisis, but it couldn't follow up with further gains, notes Ashraf Laidi, chief strategist at CMC Markets. He sees the euro weakening further against the buck, but he sees gold falling against the dollar as well. He's urging investors to sell gold versus the dollar.
Near the end of the story is a table with gold's performance for each of the ten years versus ten major currencies.
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What's the point of measuring gold against currencies? Currencies should decrease in value over time. They shouldn't be long-term investments; ideally they should slowly and steadily lose value, thus encouraging people to regularly exchange them for goods, services, and investments that drive economic activity and capital creation.
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