Dear readers,
I just returned from a Gold Miners trade show and I have to say it was poorly attended and rather boring. The keynote speakers had nothing new to say, and some are still blaming the "cabal" for manipulating the lower price. It was the same old debate about the USD, Central Banks and inflation. However the one sign that tells me the BOTTOM is in for gold, is that the biggest booth at the trade show was not even a gold miner, but a Medical Marijuana company, go figure?
The most interesting speaker panel was about raising capital on stock exchanges versus the new "Crowd Funding" method, which I believe is coming of age and will revolutionize financing just like Amazon and E Bay revolutionized retail. The debate between these two methods was interesting because the exchanges claimed that Crowd Funding is not "regulated" and investors are subject to fraud. I didn't get a chance to voice my opinion during the question period, but the so called "regulators" didn't do a very good job preventing fraud during the ENRON, MF Global and Bernie Madoff scandals did they? I believe Crowd Funding is true Capitalism because it forces the investor to do his own due diligence (Ceveat Emptor), not rely on a compromised regulator.
In closing let's never forget the first rule of investing, BUY LOW - SELL HIGH. BK
My Ten Bullish Signs for Gold:
The most interesting speaker panel was about raising capital on stock exchanges versus the new "Crowd Funding" method, which I believe is coming of age and will revolutionize financing just like Amazon and E Bay revolutionized retail. The debate between these two methods was interesting because the exchanges claimed that Crowd Funding is not "regulated" and investors are subject to fraud. I didn't get a chance to voice my opinion during the question period, but the so called "regulators" didn't do a very good job preventing fraud during the ENRON, MF Global and Bernie Madoff scandals did they? I believe Crowd Funding is true Capitalism because it forces the investor to do his own due diligence (Ceveat Emptor), not rely on a compromised regulator.
In closing let's never forget the first rule of investing, BUY LOW - SELL HIGH. BK
My Ten Bullish Signs for Gold:
- Gold mining index is down 67% over three years. (Globe and Mail)
- Cost of production is higher than the gold price which is forcing some miners to shutdown, causing supply shortages.
- BRICS create an alternative to the IMF and USD reserve monopoly.
- The $1,200 support level in 2010 was the launching pad for $1,920 in 2011. So $1,200 will be the new launching pad for $2,200 by 2016.
- Gold Miners trade show was poorly attended.
- USD is at a four year high.
- Bloomberg Commodity Index is at a five year low.
- USA engaged in a new war in Iraq and Ukraine.
- Opening of the new Shanghai Gold Exchange in China.
- Stock market at an ALL-TIME high.
Regards,
Bosko Kacarevic
President, Central Metals Corp.
