Using daily gold bullion spot prices (London fixing) and COMEX gold futures prices during 1981 through 2010 (30 years), along with contemporaneous stock market index and gold
jewelry demand data, he finds that: Keep Reading
Investors also need to know that gold can be influenced by other factors, such
as jewelry demand and the strength of the U.S. dollar, which gold and other commodities are priced in.
Gold has a much larger liquid market that is driven mostly by investment and
jewelry demand.
Precious metals such as gold are closely related to currency fluctuations, inflation,
jewelry demand and overall economic uncertainty.