Our Trade of the Decade – buy gold, sell stocks – has done pretty well…though not as well as expected. Gold has almost quadrupled. U.S. stocks went down…then came up. Now, they’re back to about where they were 10 years ago.
May 21st, 2008 | Bill Bonner | 8 comments | ContinuedAll Posts Tagged With: "gold market"
A New Floor in the Gold Price?
After noting an historic move higher in the gold price last month, maybe we should be wary of picking a bottom today. Cracking above 40,000 Deutsche Marks Per Kilo, the price of gold - when converted back from the Euros that German investors now clutch - promptly sank almost 14% from that 27-year top. In the ensuing sell-off (to date) it bottomed (so far) at the equivalent of €561 per ounce on Tuesday…
April 4th, 2008 | Adrian Ash | 2 comments | Continued
Who Will Win the Financial War of the Worlds?
Our hypothesis is that the fed’s efforts to inflate will show up more in the gold market than in the stock market. That - and an instinct for self-preservation - is why we’re long gold and short stocks. Stock prices depend, ultimately, on earnings. Gold’s price depends, ultimately, on inflation.
March 13th, 2008 | Bill Bonner | 0 comments | Continued