Legal Gold

Beginning Jan. 1, American goldbugs, who have long been limited to purchasing coins or jewelry, can legally buy the real stuff: gold bars. A bill signed last week by President Ford ends a 40-year ban against private ownership of bullion by U.S. citizens. Administration officials insist that the lifting of the ban will not affect U.S. international monetary policy, since the value of the dollar is no longer closely tied to gold. Because gold pays no interest, it makes investment sense only to people who expect the price to rise sharply or who distrust other standards of value. But some banks and companies are making plans to service would-be American Midases. Tellers at Sterling National Bank in New York City, for example, will sell two sizes of gold bars over the counter and for the minispeculator, half-ounce wafers costing about $80.

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