Continuing with my idea speculation of the next big trade, if QE3 is on the cards, see Goldman Sachs Sees Fed Resuming Easing, then perhaps The Next Seismic Shift Will Be the Gold Trade. As John Paulson asserted, Gold Will Go To $4,000, my eyes will be peeled for the up-trending gold miners. If his prediction is right (just like his subprime greatest trade ever), this slight blip will be soon forgotten (see John Paulson Hits a Soft Patch).
On the flip side, the legendary investor, George Soros exited gold: Soros Dumps Gold, Inciting Fear of Plummeting Price.
But funny how after Soros lightened his load in the first quarter of 2011, there was a period of consolidation and gold just surged higher. My best bet will be to diversify into gold. Diversification is the key word here.
George Soros, the hedge fund investor who called gold "the ultimate bubble," has divested his portfolio of nearly its entire investment in the precious metal, inciting many to fear that the price will very soon plummet, devaluing the specie-heavy portfolios of millions of investors.
Regarding gold, the "ultimate bubble" description was made by Soros in January 2010; the Hungarian-born financier of numerous leftist causes made the move to cut his holdings of gold only in the first quarter of 2011.
As with most things this Marxist King Midas touches, the price per ounce of gold has skyrocketed during the period of his investment in it. While at the beginning of last year gold was trading at $1,100 an ounce, the trading price in 2011 has risen to as much $1,450.
The New York-based fund sold its entire holding in iShares Gold Trust, a similar investment. But Mr Soros bought shares in two mining companies, Freeport-McMoRan Copper & Gold and Goldcorp.
The current debt crisis in Europe is an example of how the price of gold can benefit from currency’s shortfall. The millions upon millions of dollars owed by Greece, Ireland, Portugal, and others in the eurozone devalues paper currency while artificially (perhaps) propelling the price of gold into the stratosphere.
As I mentioned in an earlier article, Debunking 5 Myths of Stock Investing , like in academics, there is usually banter vis-Ã -vis market pundits on the above-mentioned. One may be long-term bullish on China like Jim Rogers or take the opposing view of Jim Chanos. This is what makes the market.
Note: Italics copied in verbatim
On the flip side, the legendary investor, George Soros exited gold: Soros Dumps Gold, Inciting Fear of Plummeting Price.
But funny how after Soros lightened his load in the first quarter of 2011, there was a period of consolidation and gold just surged higher. My best bet will be to diversify into gold. Diversification is the key word here.
George Soros, the hedge fund investor who called gold "the ultimate bubble," has divested his portfolio of nearly its entire investment in the precious metal, inciting many to fear that the price will very soon plummet, devaluing the specie-heavy portfolios of millions of investors.
Regarding gold, the "ultimate bubble" description was made by Soros in January 2010; the Hungarian-born financier of numerous leftist causes made the move to cut his holdings of gold only in the first quarter of 2011.
As with most things this Marxist King Midas touches, the price per ounce of gold has skyrocketed during the period of his investment in it. While at the beginning of last year gold was trading at $1,100 an ounce, the trading price in 2011 has risen to as much $1,450.
The New York-based fund sold its entire holding in iShares Gold Trust, a similar investment. But Mr Soros bought shares in two mining companies, Freeport-McMoRan Copper & Gold and Goldcorp.
The current debt crisis in Europe is an example of how the price of gold can benefit from currency’s shortfall. The millions upon millions of dollars owed by Greece, Ireland, Portugal, and others in the eurozone devalues paper currency while artificially (perhaps) propelling the price of gold into the stratosphere.
As I mentioned in an earlier article, Debunking 5 Myths of Stock Investing , like in academics, there is usually banter vis-Ã -vis market pundits on the above-mentioned. One may be long-term bullish on China like Jim Rogers or take the opposing view of Jim Chanos. This is what makes the market.
Note: Italics copied in verbatim
