Despite the correction of Gold to 700 USD level, its bull trend is intact. If you have two men Marc Faber and Jim Rogers preaching the same thing at same time, then odds are in the favour of Gold resuming its bull run soon. As per Faber, gold can even touch USD 600, where it will bottom.
Interesting read is this interview of Jim Rogers with Times Magazine on 31st-October-2008
You were one of the first to call the commodities boom. Now that prices have fallen, has your bullishness changed? No, no, not in the least. In the past 150 years or so, we've had eight or nine periods where there was forced liquidation of everything, with no regard to the fundamentals. Well, we're in one of those periods. In fact, what's happening now is improving the fundamentals of commodities. Farmers cannot even get loans for fertilizer. Certainly no one is going to get a loan to open a zinc mine. Supply is going down — this is very bullish. We have a decline in demand, but the world is in recession. We presume that is a business cycle.
Marc Faber was recently in Ljubljana [my favourite city], in Slovenia. This is a great presentation which gives a good understanding of the concepts of what is going on in today’s financial world. Here are the 8 videos of this seminar.I love it when he says "Well done Mr Bernanke"
This video interview with Jim Rogers explains why markets are crashing despite Fed's bailout.
Last Updated ( Sunday, 26 October 2008 15:32 )
The Smartest Man-Is from Chennai
Written by Anil Passi
Sunday, 26 October 2008 14:25
The Smartest Man, when delivering his prophesies, did not sugar-coat them. “This could potentially make Long-Term Capital [the financial crisis of 1998] look like some kind of walk in the park,” he predicted. “The reckoning has started.” No soft landing this time: It could even be “like the Great Depression of this century.” He said these things not last week, not last month, but on July 26, 2007. That day, the Dow Jones industrial average closed at 13,473.
Again this January, he was every bit as gloomy. By that point, credit fires were burning all over the place; the Dow was at 12,500; the world’s biggest banks had been forced to turn, cap in hand, to Singapore, China, the Middle East and elsewhere for billions of dollars. It won’t be enough, he said. “There’s a whole bunch of companies that just have to hit the wall. They can’t survive.”
1998] look like some kind of walk in the park,” he predicted. “The reckoning has started.” No soft landing this time: It could even be “like the Great Depression of this century.” He said these things not last week, not last month, but on July 26, 2007. That day, the Dow Jones industrial average closed at 13,473.