Gold bubble about to burst, says Oppenheimer's Belski

By Hilary Johnson
June 18, 2010 4:06 pm ET

Almost forty years after the U.S. officially abandoned the gold standard and its $35-an-ounce peg, the price of spot gold on Friday reached $1258 an ounce, another record, on Friday.

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The uptrend won't last much longer, one analyst predicts.

Brian G. Belski, chief investment strategist at Oppenheimer & Co., wrote in a report that even on an inflation-adjusted basis, gold prices are higher now — two standard deviations above their long-term averages —than they've been since the early 1980s, when the U.S. was experiencing double-digit inflation.

The metal is also “out of whackâ€