Highly speculative how ? Volatile how ? Like NASDAQ from 1000 to 5000 in 4 years ? Investing in Gold is not a short term profit scenario. Gold's assent to higher prices is driven by economic fundamentals such as the government inflating the money supply, cyclical ebbs and flows of mine production, low real interst rates. These cycles build up over time just like market fundamentals that favor stocks build up over time. They take decades to play out.
Gold is a terrible investment. Except for when it isn't.
Those times of when it "isn't last for years though. If you bought an equal dollar amount of Gold and the S&P 500 Spider ETF going back 1,2,3,4,5,6,7,8,9, or 10 years ago today, you would have done better with Gold. Now the 20 years before that you would have done better with the S&P 500. These cycles go in multi-decade increments. I do not think we will be done with this cycle until Gold is in the low to mid 1000's of dollars.
GOLD = GREEN S&P 500 = BLUE
Since 11/6/2006, Gold has outperformed the S&P 500 by approximately 35%.
Since 11/6/2005, Gold has outperformed the S&P 500 by approximately 60%.
Since 11/6/2004, Gold has outperformed the S&P 500 by approximately 55%.
Since 11/6/2003, Gold has outperformed the S&P 500 by approximately 70%.
Since 11/6/2002, Gold has outperformed the S&P 500 by approximately 155%.
Since 11/6/2001, Gold has outperformed the S&P 500 by approximately 200%.
Since 11/6/2000, Gold has outperformed the S&P 500 by approximately 175%.
Since 11/6/1999, Gold has outperformed the S&P 500 by approximately 150%.
Since 11/6/1998, Gold has outperformed the S&P 500 by approximately 125%.
Since 11/6/1997, Gold has outperformed the S&P 500 by approximately 20%.