Marc Faber Bullish on Gold Shares

Marc Faber : I am also warming to Gold shares. Gold corrected to $1,522 last December from $1,921 in September. It rebounded to $1,795 in February and is back down around $1,600. The correction could last longer, but given that governments will print more money, gold is relatively effective as a currency. My preference is physical gold, but I would also own some gold shares, which have been decimated. Goldcorp [GG] is attractive because most of its properties are in the U.S., Canada, and Mexico. The company isn't exposed to regimes that are talking about nationalizing resources. In general, stock markets are oversold. The U.S. government-bond market is overbought. The U.S. dollar is overbought, and gold is oversold near term. - in Barron's Roundtable - June 2012

Donald Trump - The Euro is doomed

"The whole euro thing will eventually be doomed," says Donald Trump, Trump Organization chairman & president, expressing his thoughts on Europe's financial crisis and the future of the euro zone.

 

 19 Jun 2012 CNBC


"It's a total mess. I know so many people over there, they don't know what's happening. The whole euro thing is doomed. I can't see Germany bailing out other people. A lot of these countries are going to go back to their own currencies. But it won't be nearly as bad as people are saying"

[Are there bargains over there?]

"Yes. Spain. It has too much debt, all of those empty homes and apartments. Look at Miami, the greatest example. Miami is booming and a few years ago it was a disaster. Somebody brought a project to me in Greece! You're getting everything for nothing, you have to sit on it for a while. I'm thinking of doing something over there....a great opportunity is Spain too. It's got a fever, this is the time to take advantage of it"


[Gillian Tett -
I am sure you can buy a fleet of Greek islands. Will you jump into Spain?]

"The countries have to go back to their own currencies. Germany is buying back tremendous amounts of debt [! at discounts. I'm not sure Germany is suffering. That's not a bad way to make a living. But a lot of these countries, maybe all of them, will have to go back to their own currencies. Different people and different thought processes,


Rich Dad Poor Dad is the story of Robert Kiyosaki's financial education. He had two 'dads' - one his real dad, who was poor, and the other, his best friend's dad, who was on his way to becoming a very rich man.

Buy Gold ahead of QE3

Societe Generale is “enthusiastic on gold” — so much so that in their latest cross-asset strategy report, they call “buy gold ahead of QE3″ their number one strategy, saying it’s “the perfect asset to benefit” from additional loose monetary policy.
In the report, SocGen discusses the historical relationship between the price of gold and the U.S. monetary base. The SocGen team writes that “if gold catches up with the increase in the monetary base since 1920 (as it did in the early 80s), its price would rise to USD 8500/Oz,” adding that just “to close the gap with the monetary base increase since July 2007, gold would have to rise to $1,900/oz, assuming full transmission from the monetary base increase to the gold price.”
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