Posted on 12/20/2012 6:16:13 AM PST by blam
JIM ROGERS: I'm A Gold Bull, But I Think Prices Will Tumble For A While Longer
Rajeshni Naidu-Ghelani, CNBC
December 20, 2012
With gold prices being hammered in recent weeks, and trading near four-month lows on Wednesday, longtime gold bull Jim Rogers is sounding a word of caution, saying it's possible the correction in bullion may continue into the new year.
"Just be careful, there're too many bulls, including me, but I'm very cautious," Rogers told CNBC. "Gold is having a correction— it's been correcting for 15-16 months now— which is normal in my view, and it's possible that [the] correction is going to continue for a while longer."
Gold prices have been gaining for over 12 straight years now, Rogers noted, adding that the safe haven asset has only seen a major correction once in that time period, during the global financial crisis back in 2008 when bullion fell 32 percent.
"Most things correct 30 percent every year or two, even in big bull markets – 30 percent corrections are normal and yet gold has only done that once in the past 12 years," Rogers said. "Gold on any kind of historic market basis is overdue for a nice correction."
Gold regained some strength on Wednesday after falling to its lowest level since August in the previous session of $1,661.01. Analysts said the progress in U.S. "fiscal cliff" talks has dented gold's safe haven appeal, as investors turn to equities.
Still, the precious metal, which is up around 0.3 percent so far this year, is nowhere the near the $2,000 mark many bulls had predicted it will hit by the end of this year. There were hopes the flood of cheap money unleashed by the Federal Reserve's quantitative easing would drive gold prices higher.
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(Excerpt) Read more at businessinsider.com ...
Well I guess Jim will get one right finally with this call. “I’m a Bull, except that I’m Bearish.” Unless it doesn’t change at all.
I guess timing is everything. Now that I have secured an adequate supply of food, water, medical supplies, ammo, tools, etc., I am turning my attention to gold and silver coins. If I was an investor, I would buy 1oz bullion coins because fractional coins have a higher premium. However, for a survival scenario, fractional gold coins are more liquid. As for silver bullion coins, I am buying silver rounds.
false claim as more then half is govt spending
there is not one thing the administration is doing that will improve the economy or strengthen the dollar
quite the opposite as, come january, 0failurecare kicks into motion... driving small businesses to close, putting more people on unemployment and food stamps... driving up our debt...
yea, things are looking peachy
/sarc
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