Since the global financial crisis in 2008, investor capital has fled to a standard haven: gold. Prices for the yellow metal reached record highs this year, raising the incentive to get the gold out of the ground. Impoverished people in rural areas became artisanal miners. Companies sprang up with new machinery, and governments tapped in, too. In Latin America, everyone is finding a way to get in on the scramble.
Societe Generale issued a note that has investors wondering whether 2013 will be the first year since 2000 that gold ends the year down. If real interest rates in the US begin to normalize, gold will likely get crushed, as Goldman Sachs (and others) have pointed out lately.