Like a cure-all tonic prescribed by a travelling rural huckster, gold somehow seems to be good for nearly everything that ails us. Just consider the diverse economic backdrops that have caused its price to spike over the years: stagflation, financial panic, speculative mania and currency debasement.

Back in 1980, when the yellow metal hit $850 an ounce – still the record in real terms – western economies were being squeezed simultaneously by the second oil crisis and record post-war inflation.