Sorry, i guess i need to clarify what i posted.
Yes and no, gold is a commodity and a form of real money. In this case, when Gold is acting as real money, the US will buy back some of its money with gold and it will strengthen their dollar. By taking USD out of circulation, the value will go up.
But most of the strength in the rise in gold price is not because everyone wants it, the demand is not so great as to push gold up over the past year from 650 to 800 dollars. The strength of gold is because the US dollar has been devalued.
This is why the cost of a barrel of oil and the ounce of gold are so closely related, if you look at the price curves of oil and gold, they are similar this year, but also look at the drop in the value of the USD against other currencies and the curve is the reverse.
just some more thoughts
AndyK