Wednesday , 02 Jan 2008 NEW ORLEANS (January 2, 2008) - As gold broke through its previous record high of $850 Wednesday, set in 1980, Blanchard analysts say that while the macro-economic conditions between now and then may be similar, the fundamentals driving gold’s ascent are vastly different.

“When gold achieved its 1980 high of $850 per ounce, it maintained that level for only one day and was driven purely by speculation,” says Blanchard Chairman and CEO Donald Doyle. “Today, gold has maintained a consistent price point above $800 and is being driven by dollar weakness, rising oil prices and geopolitical tension, each of which seem to be locked in long-term trends.”

Doyle also says investor demand is at levels not seen in decades, which has also played an integral role in driving the price up more than 33 percent in 2007 alone.

“Investors are seeing the economic big picture, and it isn’t a pretty one as financial institutions continue to announce billion dollar write offs and the sub-prime mortgage crunch takes out financier after financier,” Doyle says. “Safe haven investing is growing, and investors are seeing that they can not only protect their assets, they can also generate profits and maintain liquidity through precious metals.”

Doyle says he expects the commodities bull market to be in place for the long term. Precious metals, including gold, silver, and the alternative asset class of rare numismatics, will benefit as a result of the current global economic situation, which is a conundrum for traditional investments, monetary products, and currencies, he says.

“What we’re seeing right now in precious metals and rare coins is really unparalleled when we evaluate it against what has happened with these investments historically,” Doyle added. “And, there’s still great opportunity for growth.”

For two new reports by BERU analysts on 1) the stock market versus gold; and 2) gold versus rare coins; visit http://www.blanchardonline.com/beru/rarecoins.php