Probably the only guy snickering is E-bear.

Not really, though I understand why you'd say that. I know I take skepticism to an extreme, but to me that seems better than not taking it far enough. At worst, I'm pleasantly surprised when I'm wrong because I don't lose much, except perhaps an opportunity (and as with buses, another one eventually comes along).

But to answer your question....

Yikes, more fiat currency is added to the markets and our precious gold falls in value??

The value of gold in fiat is hard to gauge because it's subject to so many outside forces. Most "owners" of gold hold the paper variety - futures, options and (some would say) ETFs. These people will never take delivery - it's not their goal. Some are hedging mine production, some are hedging portfolios or inventory, some are merely speculating on what other players will do next. The common element is leverage, so when something blows up elsewhere (like Greece) they have to liquidate to meet margin, and gold being liquid gets sold along with everything else.

But notice: gold consistently comes back and has not broken its long term trend (not even close). This tells you all you need to know about gold: own it, but don't sweat the volatility, unless you're a trader.

Most of you have some type of insurance policy, I'd imagine. So, do you look at it every day and try to figure out what it's worth? No. As long as the issuer is solvent (something I'd be paying attention to) it sits there. You don't worry about it. That's how I see gold. It's your ultimate insurance policy, but only if you hold the physical. Everything else is speculation and the two should NEVER be confused.

ebear