“Even with the prospect of no QE, if you believe the Fed, gold has not made a new low [since December] so, in my opinion, the absence of QE is priced into gold. On the other hand, if market conditions hit emergency levels, the central banks will be forced to their knees and they will be doing QE by whatever name it’s called. I think at that stage you are going to see gold go ballistic because it will be an admission of failure on the part of policymakers….If investors don’t do something now and take advantage of this funky period we are in, this daily grind of back and forth, they are going to be paralyzed. They will just be bystanders when gold finally takes off.”
So says John Hathaway in edited excerpts from an interview with Eric King of King World News as brought to you by Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!). This article must be included in any article reposting to avoid copyright infringement.
Hathaway goes on to say, in part:
“I think we are within months, or at the outside 12 months, from this thing blowing wide open. When that happens, money will look to find whatever it can in order to participate. Gold is obviously the first step in any process like this, but physical silver will benefit, as will gold mining stocks. People that hate mining stocks right now are going to find reasons to love them because whenever you have the kind of dynamic move that I expect, anything that can be viewed as a way to participate is going to be explosive…”
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19. Stephen Leeb: Silver’s Going to $60, $70, by the End of 2012 – Easy!
I think scarcity in oil is a dramatic tailwind for gold. Politicians will inflate. They don’t want oil to bring down the economy like it did in 2008. Remember, this inflation will take place with commodity prices already high. So this will create significant inflation. This means higher gold and silver. Gold at $3,000 by the end of the year, easy. Silver $60, $70, easy.
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