Here’s some perspective on the recent gold rally and decline. Via Goldman Sachs:
- The 2012 average gold price was only 2.5% lower than the 1980 average of $1,711/ounce in real terms.
- The long-term real price average is $507/ounce, and the post Bretton Woods (1972 onwards) average is$741/ounce.
- Despite the latest price drop, prices remain high historically.