QOTD: Some Kind of Mania in Gold Mining Stocks Before this Ends

The legendary investor Jean Marie Eveillard (of the $50 billion First Eagle family of funds) spoke with King World News, here is what he had to say on the outlook for Gold and Gold Miners:

In this environment gold is far from being over-owned. Rachel Benepe, who runs our gold fund here at First Eagle, she was telling me the other day that if you take global pension funds, not just in the US but in the rest of the world as well, they only have .4% of their assets that are invested in gold. So gold is far from being over-owned.

Gold today should be seen as a currency, none of the major currencies being appealing. The are an enormous amount of debt claims throughout the world, which by comparison with gold at $1,800, the entire amount of gold above ground equals ten trillion dollars, including incidentally half of that being in the form of jewelry.

By comparison with the ten trillion dollars of gold in the world, the financial claims are much, much higher, so it is still a case of too much paper, most of it dubious and I believe too little stuff, stuff being gold.

Gold will continue to rise as long as monetary authorities continue to do what they have been doing, which is an automatic reflex in a pure paper system, which is to print more money.”

When asked about the mining shares Eveillard replied, “I think they have lagged long enough and we are reaching the point where if the price of gold stays at $1,800 an ounce or even goes higher, then the mines will begin to coin money and dividends will be increased.

So I think there is an opportunity there. The potential for gold, I don’t want to mention numbers, but the potential is considerable. The whole story could end with some kind of mania in gold mining stocks.”

Source:

Eveillard – Expect a Mania in Gold Before This is Over (King World News)

Tags: $GDX $GLD $SIL $GDXJ $SLV

Tags: , , ,

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Wealthcast Media, an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers

Please see disclosures here.

What's been said:

Discussions found on the web
  1. thenaturalpenguin.com commented on Sep 15

    … [Trackback]

    […] Find More on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  2. https://eatverts.com commented on Sep 21

    … [Trackback]

    […] Find More Info here on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  3. immediate edge reviews 2020 commented on Sep 23

    … [Trackback]

    […] Read More Information here to that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  4. bitcoin era commented on Oct 01

    … [Trackback]

    […] Find More on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  5. 안전놀이터 commented on Oct 16

    … [Trackback]

    […] Find More here on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  6. dumps shop script commented on Nov 16

    … [Trackback]

    […] Read More here on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  7. cvv fullz commented on Nov 20

    … [Trackback]

    […] Read More to that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  8. rbc online commented on Nov 27

    … [Trackback]

    […] Information to that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  9. Sexy commented on Dec 28

    … [Trackback]

    […] Find More to that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  10. wigs for women commented on Jan 15

    … [Trackback]

    […] Find More here on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  11. LG 42LG6100 manuals commented on Jan 19

    … [Trackback]

    […] Find More Information here to that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  12. online ordering system for restaurants commented on Feb 03

    … [Trackback]

    […] Find More Info here on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]

  13. Agile DevOps commented on Feb 07

    … [Trackback]

    […] Find More on that Topic: thereformedbroker.com/2011/09/12/qotd-some-kind-of-mania-in-gold-mining-stocks-before-this-ends/ […]