Gold above $600 is frightening. It appears that people expect inflation, and that people don't have trust in our currency.

You've got very powerful, very intelligent and very imaginative people on both sides.

People are buying gold because it is now apparent that we are going to see massive inflation. Gold is the best hedge for inflation.

Some of the reasons why people bought gold don't hold true anymore. Rising energy costs, inflation, the double deficit in the U.S. and geopolitical tension. None of them seem to be much of a problem.

The market has traded very poorly. Gold is trading above $600, which is indicative of the inflation outlook. Then there is fear about a strong jobs number tomorrow.

Gold isn't a hedge against inflation. It's a flight from the dollar, which is much more profound problem.