LONDON, 21 April 2011 - BullionVault features tonight in a detailed report on the global gold market by BBC television's flagship current affairs programme, Newsnight.
"Gold has risen in value as investors look at rising inflation and an enduring debt crisis," said Newsnight anchor Kirsty Wark at the top of the show, adding that the "surge to $1500 per ounce...could become a gold bubble."
Noting both the University of Texas fund's decision to "take possession" of $1 billion in gold (actually 'take delivery' into secure custody) as well as the United States' being put on "negative watch" by the S&P credit ratings agency, "What does this instability mean for governments as [they] battle austerity?" asks the BBC's flagship current affairs program.
"[Gold's] rare, it's very tightly supplied...we know what the existing stock above ground is, around 165,000 tonnes...and it's indestructible," said Adrian Ash, head of research at BullionVault, leading a 7-minute recorded package at the start of Thursday's programme.
"That basically makes it the opposite of debt."
Newsnight also cited BullionVault data in a 5-year chart of the Dollar gold price. A live studio discussion identifying record-low interest rates as the major cause of the rise inn gold prices then featured former Bank of England policymaker David Blanchflower.
"The main driver for people looking at gold right now is what is going to happen to the value of other asset classes, in particular government bonds," Adrian explained. "There's way more government debt than can be settled, and that makes the long-term outlook good for gold."
Viewers in the UK can watch this edition of Newsnight until Friday 28 April using the BBC's iPlayer here...
Gold bullion - Buy online at live gold prices.
