Jim Rogers, the investor who predicted the start of the commodities rally in 1999, said that Nouriel Roubini is wrong about the threat of bubbles in gold and emerging-market stocks.
Many commodities are still down from record highs and equity markets arenâ€™t on the brink of collapse, Rogers, chairman of Singapore-based Rogers Holdings, said in an interview on Bloomberg Television today. The price of gold will double to at least $2,000 an ounce in the next decade, he said.
â€œWhat bubble?â€ Rogers said, when asked if he agreed with Roubiniâ€™s view. â€œItâ€™s clear Mr. Roubini hasnâ€™t done his homework, yet again.â€
There is no inflation or â€œnear-depressionâ€ to drive gold prices that high, Roubini said today at the Inside Commodities Conference in New York. If a severe depression came to pass, with investors buying canned goods and hiding out in log cabins, â€œmaybe you want some gold in that scenario,â€ Roubini said.
â€œMaybe it will reach $1,100 or so but $1,500 or $2,000 is nonsense,â€ Roubini said. Gold rose to a record $1,098.50 today in New York on speculation that central banks and investors will purchase the metal to hedge against a declining dollar.
Here at SHTFplan.com, we are pretty confident that gold is going to continue to rise, not necessarily because of inflation, but because gold is turning into the global safe haven asset, as investors world-wide look for some way to preserve their wealth. Gold at $2000? We say yes, and suggest that gold will go ever higher. It is still 50% off its all-time high in real terms as we discussed in BOOM: Dow Jones Hits New High of 7500!
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Read by 100 people Date: November 4th, 2009 Website:www.SHTFplan.com
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