Keeping the Gold Standard

Summary


With house prices falling and shares slumping, one investment continues to soars: gold. But, as Owen Amos explains, historians would have expected that. If only Gordon Brown was a historian... . .

WELCOME to the credit crunch: the world where nothing's worth what it was and investments slide like a thermometer's mercury. If you'd bought the average house in August 2007, for example, when prices were at their peak, it would have cost [pounds]199,770. Now, according to the Halifax index, it would cost [pounds]172,108 - a 13.9 per cent drop.

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Extract


Keeping the Gold Standard

On August 2, 2007, when houses were pricey, and only Robert Peston knew what the credit crunch was, the FTSE 100 closed at 6,224.30.

Last week, it closed at 4,242.50 - a 31 per cent decrease.

Silver, according to Kitco, the preciousmetal dealers, has drop...

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