Will the obsession with Gold end in losses?

Ian Lyall, a former City News Editor at the Daily Mail has asked if Gold has finally lost its lustre? The article ends by citing a number of analysts who believe that Gold is bound to bounce back. Indians are one of the top buyers of the precious metal and the Indian obsession with the precious metal as a holder of value is legendary. Many investors jumped on the gold bandwagon when it hit the US$1900s in fall of 2011 and now  are regretting the purchase now that the metal has dropped to the US$1500s.



I believe that global economic uncertainty and quantitative easing programs of Central Banks are bound to heat up the demand for Gold in the short to medium term. My take on this correction is: if you have Gold in your portfolio keep it, if you do not have Gold, the current dip offers a buying window to give your portfolio exposure to the precious metal.