There is no intrinsic value of gold or other commodities. They are inert, non-earning assets.

There is no intrinsic value of gold or other commodities. They are inert, non-earning assets. 

• As an investment, gold is a pure speculation because there is no internal creation of value. 
• Industrial metals, such as copper, are less speculative than precious metals because their prices more generally reflect demand and supply. 

Nevertheless, extrinsic factors operating through buyers and sellers determine the price of every commodity. 


In contrast, for equities and other claims on assets, their value is intrinsic because it is generated by the underlying operating enterprise in the form of earnings, dividends, and cash flows. 


There are no intrinsic prices, only intrinsic values.


http://www.numeraire.com/value.htm