The markets will reveal which is right

"By early September 2011, gold was trading at around $1,900 an ounce, an indication that investors felt inflation was set to soar."

And your evidence is ?

Could it not be that gold soared because bond yields plummeted, plunging real interest rates deeper into negative territory ?

Could it not also be that gold soared for fear of further currency debasement by central banks ?

Were investors really fearing inflation, commodity and real estate stocks would have got a bid.

So your article posits a false dichotomy. Gold and bond yields are telling the same story : more deflation and deeper negative real interest rates ahead.

Reference currency with better technology
we use money, has been perverting its technology to produce a continuous transfer of wealth from the financial world production. The endless financial turmoil and the decline of the dollar as currency, urged the development of a new monetary technology generation, gradually add-in time and space, a new technology that will promote monetary stability and economic production and financial.
By Hector Thompson *

All air disaster happen by human and technological errors. Worldwide, also in north-no unmet needs, labor and raw materials to produce, all supposedly "missing" is money, which paradoxically is overflowing but hidden in the financial scene a few, that voracious, keep asking and asking for more money, irrationally, are given from time to time under the guise of "calm the markets." This run the international financial system is only sustained by the fear of change and the choice of the devil they know.
Certainly the introduction of new money, scientific basis, will be gradual and in harmony with the other types of money that we use today.
We are in a time and place of the world where facts have materialized also seemed impossible: reduce external debt, break the dependence on the IMF prioritize education for all, provide computers to students regardless of social class, repatriate scientists recover funds for retirees applying them to production, etc.. We can do something else with the rest of South America, developing a new money that is put on the side of labor and production.

Base technology for a new reference currency
A true reference currency would be measured in fixed units, this would be a basis for designing science-based money. You can expand the virtuality of money by using card, complete with a public record of how much of this money each person has actual or legal, which would prevent use this money to robberies and kidnappings for ransom.

New science-based money
all sizes in science after working physically-global agreements are invariably measured in units (eg unit length is the standard meter). Money can be downloaded to a physical reality by assigning a unit unchanged. Considering that from the scientific developments of Einstein mass and energy were matched without error we can say that everything is measured in energy units, including the value of money. This enables power units already defined in physics and used popularly. If you look at any energy bills will see something like the following:

Power Consumption 706 kWh 215 $
This means that power consumption is valued at kiloWattshora ( kWh ) and dollars ($). The kWh is a fixed unit on the planet, whereas the $ changes its value, depending on the time and place. This change in the value of money over time, generate social unrest.

New currency, safer, more reliable,
in 1945 the dollar was chosen as world currency "for being a gold-backed currency," the British Pound was declared inconvertible by the British. Then Nixon decreed the inconvertibility of the dollar, when most humans and clung to the belief of one dollar worth. To get this money from new generation builds trust and use can gradually grow back with the gold mined and processed locally. This support would have the advantage of trading gold in invariant units ( kWh ).

Determining the value of any object or service
to determine the cost of any goods or services shall take into account the energy demand production. Then add the other usual components of the compensation cost and ultimately the agents of production, all expressed in kWh . Energy sources like oil, gas and coal will a reference-expressed in kWh that will express how much energy can provide, as well as groceries calories or essential nutrients they provide.

Read complety http://perio.unlp.edu.ar/tecnologias/new_generation_technology_money.html

The best hope for equity investors in 2012 is that both the gold bugs and the bond vigilantes are wrong.A further cushion for investors is that the corporate sector’s financial position has been strong.All the above are right but the occupy wall streets is increasing.Further austerity through out the developed world is bound to build mass anger.If people upset already and further see corporates prospering then possibility of turning towards wrong path .this is not right way to go further.