Several countries around the world, including the UAE, are establishing a federal platform for gold trading, and this may signal an overvaluation of the U.S. dollar, or that countries are moving away from the dollar for gold denomination, says Doug Groh, portfolio manager of Tocqueville.
"It really says a lot about the currency. The currency is cheap and it takes a lot of the currency, numerically, to buy gold," Groh told Kitco News on the sidelines of the 121 Mining Investment Conference in New York.