Having spent many years as a “supposed” expert on metals and mining (and making and losing millions in the process), there seems to be now a “last one out turn the lights off” attitude towards owning gold now. With little personal doubt it’s been manipulated like all other markets we now know have been; and at a valuation that looks incredibly cheap compared to other investments (especially financial assets), it appears gold has a 10% downside risk and a 50%-100% upside potential from here. The fact that 99 out of 100 investors and professionals alike have no real exposure to it (and laugh at the thought of having some), tells me those who do acquire some in the near future should be the one’s laughing last and laughing the best.
Gold is nearing a major support zone and may even briefly break below it; but that would be the final washout it may need before launching a new bull run that in the next 3-5 years could take it to new, all-time highs.
When I first entered Wall Street back in 1984, being a member of the NYSE was truly prestigious. While still a landmark, it’s relevance in stock trading has been reduced to near zero. The loss of trading capabilities last week proved that to be the case. But hey, you can still catch TOUT-TV (CNBC) programs there!
Geopolitical concerns may not be on the minds of the “Don’t Worry, Be Happy” crowd on Wall Street, but if you think the Greece and China concerns at the moment are worthy of concern, what’s sadly been evolving in the Middle East shall IMHO be among the biggest problems mankind has ever faced before too long. Here’s one I pray I’m wrong on but know I’m right.