Gold Price Spikes as Buffett Sounds Inflation Warning

``The gold price spiked higher Wednesday morning after Warren Buffet told CNBC that “paper money is not a good bet.” The price of gold traded to yet another all-time high, touching $1,436.80 per ounce. Buffet warned that inflation is a looming threat and there are serious to consequence to the Fed monetizing America’s massive budget deficits... Once again, comments from Fed Chairman Bernanke provided a boost for the gold price yesterday. In his semi-annual Humphrey Hawkins testimony to Congress, Bernanke provided no indication that the Federal Reserve was planning to implement tighter monetary policies in the near future. Bernanke’s dovish talk pressured the U.S. dollar, which fell to an 11-week low against a basket of the world’s major currencies.''