The naysayers have said gold was ready to fall at every step of its upward march toward $1,100. But the world can't get enough of the shiny stuff.

As regular readers know, I have been advocating the purchase of gold for quite some time. The big news in the gold market last week was the fact that India bought half of the gold the International Monetary Fund had said it wanted to sell.

How to invest in gold

As my ever-eloquent good friend Jim Grant of Grant's Interest Rate Observer said to me, "So much for the modern conceit that gold isn't money!"

Folks might remember how the gold market was criticized as overpriced (as gold rallied from $250 past $1,000 an ounce) every time the possibility of the IMF selling its gold was raised.

Well, here the IMF did...