Future of Gold Rates.....

It is always a pleasure to answer on my favourite subjects.
Regarding the price of Gold in near future., I for one do not think that Gold will fall because Crude is falling. The relation of Gold with regard to Crude has in the recent past, deviated.
In fact, I had an interaction with Mr.Gopal Agarwal, when he was in Bangalore during the launch of Mirae Asset Global Commodity fund, where he was of the view that relation of Gold v/s Crude has evaporated and he seems to feel that Gold as a commodity is entirely different and cannot be compared to other commodities. Mr.Gopal Agarwal was bearish on Gold for long term and said short term it could be a market performer, at best.
However, I also had an interaction with officials of DSPML and AIG, and both had similar views that Gold is ripe for a BIG BOUNCE and they expect it to cross $1200 very soon.
One thing you should note here is that a Fund Manager is never bearish. He is always bullish, especially on the stocks/commodity he owns. That could explain the bullishness of DSP and AIG.
I personally that Gold should definitely form a part of your portfolio but should not occupy a major chunk of your portfolio.
Best of luck.