Today Gold has almost hit the $1,300 mark against the Dollar! The Dollar is also weakening against the Yen. Combine those two facts and the the whole equities run up in the past few weeks in the U.S and the GCC. This tells me that there is something happening at the dollar's front that is further weakening the dollar.
remember, the UAE, Qatar, and Saudi Arabia, and Oman are 100% pegged to the US Dollar and Kuwait is about 60% pegged. So if the dollar weakens then their currencies weaken as well. And weak currencies in such import dependent countries - the GCC - will eventually result in inflation. Which will also hit the U.S if its currency continue to slide further.
Gold futures rise to trade near $1,300/oz - MarketWatch
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