Sunday, November 8, 2009, 11:31AM ET - U.S. Markets Closed.
"Across the board I like commodities: We have a President-elect who's going to come in a reflate the economy by printing money," says the Fox Business News host. "As the dollar goes down, things denominated in dollars - gold, platinum, wheat, soybeans, oil - have to go up in price."
So why does he recommend shorting gold, which most people think of as the classic anti-dollar play?
Bolling isn't anti-gold but believes the yellow metal has become overvalued relative to platinum; thus, he's currently short gold and long platinum via a paired trade. On Wednesday, gold fell 2% to $840 while platinum rose 1% to $971; historically, platinum has traded at a much higher dollar value than gold.
"This trade has a long, long way to go," Bolling says.
Note: The accompanying video was taped Wednesday morning, prior to the session's steep declines in commodities, most notably oil.
Fox news report,huh.. Don't they get most things wrong..
Agree with Ace...find Bolling's sentiment nonsense...the governments can only manipulate the metals market for so long - once market forces regain control gold with shoot to the next resistance level.....and most are holding as money...
Silver is just as much undervalued vs. gold. Silver was $21 when gold was $1000. Now its $11. Only the COMEX banker shorts have the lid on it, and it will eventually blow off. There is only 600 million ozs of silver mined worldwide per year and most of that is consumed by industry. Yes. Only 2 ozs of silver per American... Think about the rest of the world when gold explodes... Gold is too expensive for 90% of people - but not silver.
If you get your trading info from websites like this you are a little guy and should not be shorting or short term trading anythng. Go Long gold and silver and don't gamble your hard earned money.
Hey reedersong, me too, here goes: Well if the stimulus doesn't end up working out and just hyperinflates the dollar, maybe we should dump gold and silver and pick up some brass and lead. =)
The answer is Viena Sausages..................It is better than gold ...........Invest in European Stock concentrate on British Market Blue Chip and Utility Companies, grab the opportunity while the Dollar is strong..............Tips, Glaxo, Bats, Bp, Shell, Tesco, United Utilities, National Grid,Diageo , Aztra Zeneca,Compass Group,SSE Energy...........It will give you good dividend income for life and capital gain for the future....... Sounds interesting.........This according to the researcher........and common people like me .......Okay Bonanza........I read on the Investor Chronicle from Internet..........Ask the advice of your broker about it............It is not my tips ...it is according to the magazine I read........What do you think.......
I suspect the major reason why the divergence in Gold/Platinum ratio has to do with the fact the latter is an industrial metal and gold is not.
Lets not forget uranium. FRG looks especially good with it's recent buying into Canada's fourth largest uranium area for a fraction of its value.
Fox financial my goodness the same people that where shouting for months and months that housing would not affect the economy. They lie and lie and lie and lie anyone getting the message here. I will say it one more time they LIE.
Come on! It's the 25 year cycle when gold bugs come out of hibernation, flit about, mate and die off. Gold is no better over time than a 3% interest bank deposit.
Gold as an investment is a very different animal from gold as currency-disaster-protection. You can have it both ways, but not with the same actual gold. Investments in the future price of gold are probably best made via ETFs or stock in the companies that actually produce gold but, reinforcing what jcrowco wrote, gold you are setting aside for a currency collapse had better already be in your possession at the time such a thing occurs. Your shares of GLD or AUY will do you little good if your only option is to sell them for U.S. dollars under the sort of economic circumstances where you would need to do so.
Yet another example that it is not supply and demand the moves the commodities but the socialist on wall street with taxpayer money fresh in hand who will be the ones who bring down this formerly capitalistic country. CASH AND GUNS
Ace is wrong. There's no reason why gold would be inherently better "money" than platinum.
if you listen to what he says he isn't really SHORT GOLD. all he is doing is hedging his platinum play.
SILVER is the only way to go. It's dirt cheap and ready to explode.
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ACE - Thursday January 08, 2009 07:39AM EST
Platinum isnt money.Gold is.