Besides the de-coupling there are many fundamental factors that will result in higher gold prices. The big question is how much will it go up say within a year? The enormous increase in the money supply in the US as well as many other countries. Recently, England bailed out more banks in trouble costing them many more billions. These enormous and growing government deficits will undoubtedly lead to devaluation of the currencies. At the same time these countries with positive cash flows will not want to keep buying currencies that will devalue. Thus like India, will buy gold. This trickle could become a flood. Also, the Middle Eastern oil producing nations have already been making noices about not pricing oil in US dollars. Maybe oil producing nations will want to price oil relative to gold. All of these factors and numerous other all point to increasing gold prices.

I have invested in gold companies for many years but do not consider myself a gold "bug". However, I am now more inclined to agree with those who are suggesting much higher gold prices and have been increasing the percentage of gold stocks in my portfolio. I trust SanGold will be building up reserves and ramping up production to take advantage.