The worth of gold in the world is growing by the day. That might seem like a paradox but it isn’t. The worth of gold is not fixed on the Comex futures exchange, or the trade in London or Zurich. True, most of the gold-trading public takes its cue today from the CME’s COMEX gold futures price where it does not at all look like the worth of a bar of gold is growing. Why can we then speak of gold’s worth rising?
On Comex the price of gold futures has gone from a high of $1896 in August 2011 to current lows of $1099, lows last seen six years ago, tendency downward. Here we come to the fallacy of composition where we extrapolate from one particular to the universal, when we assume that something is true of the wholejust because it is true of some part of the whole.