On Wednesday was Ralph Aldis of U.S. Global Investors in Cape Town during the Indaba, the largest of the African Mining Conference on Gold and the gold price were interviewed. He said: “A rise in the gold price to U.S. $ 2,300 per ounce would be I am not surprised!”
The portfolio manager of the fund provider U.S. Global Investors Inc., said: “Taking the history as a yardstick, then the recession should only last for five months! During the last 15 years the gold price had the greatest extremes when he behaved inversely to the dollar and brought people to the gold in their portfolios to pack. ”
The signals are on green to gold in the portfolio, especially if the price is again something back to form. Long term, gold remains a safe haven at any time. Especially before us is inflation, generated by the totally ran out of money supply expansion, forcing the people formally to invest in physical gold and gold shares. The same goes for silver.
Aldis is also a short summary of what he believes happened so far and where his optimism regarding a period of only five recession comes.
Since 1945, recessions lasted an average of 10 months and the longest about 18 months. If we now assume that the current recession began in early 2008, we have already 13 months behind us and a maximum of only 5 months ahead of us. Although the company back its workforce, the banks are likely out for the summer again with lending and begin the infrastructure and support programs of the governments their effect.
He further states that it is not the demand for raw materials would be so massively caved but the non-availability of Kreditakkreditiven to the charges about to be shipped.
Literally said Ralph Aldis “The dramatic correction of the raw material has a 20-year commodity cycle is not destroyed but merely delayed.”
The world got a lot of stimuli, including seasonal cycles. Gold demand is rising steadily since August 2008, both privately as well as by massive purchases by the major ETF’s (Exchange Traded Funds) as the ZKB, Barclays or I-Shares.
The trigger of the credit crisis was the bankruptcy of Lehman Brothers. Then froze the credit market and the interbank trading and the overall markets collapsed. So if the story is right, then to summer, the worst was over and we all return to the sun’s face appear. Would have been nice!
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