Is the mainstream media clueless on why gold is an appreciating investment class?

“Gold chatter — Meanwhile, there’s a lot of yada yada being shoveled out about gold. I read in today’s Financial Times that gold has been advancing because the dollar has been going down, but if the dollar rallies gold will take a dive. Then I read in our local newspaper that gold has been going up because the mines in South Africa are producing gold at their lowest rate in years. An article in a current magazine informed me that gold has been going up because “speculators” are driving up the price based on a general rise in all commodities. Guesses, rumors, theories, baloney.

My own take is that gold has been rising in reaction to the trillions of dollars, rupees, pesos, rubles, reals, yuan etc. that are flooding the economies of the world. An ocean of paper is being created and as the purchasing power of all this paper is diluted, it requires an increasing amount of any given currency to buy given unit of the ultimate tangible money — gold

Actually, a lot of other tangibles have been rising in terms of paper money. Classic paintings have been rising in terms of fiat money, the price of outstanding collectibles has been rising, the price of beach front property around the world has been rising, gem-quality diamonds have been rising in price, classic car prices have been rising. And on and on. You probably have your own list. Put it this way, if its a genuine tangible, it probably taking more fiat money to buy it.

However, there is only one tangible that is immediately accepted around the world, only one tangible that can be bought or sold in any quantity at any time in any city or financial center — and that tangible is the ultimate timeless money — gold.”