The Goldbugg Report - July 21, 2009
Great FINANCIAL REPORT ON RADIO JULY 17 2009 SHOW
-10 compelling reasons why gold is going to do well this year.
-Ted Butler silver commentary.
-John Embry July commentary.
GOLD
-COMEX traders forebode gold at $1,600 by December. Here are 10 compelling reasons why gold is going to do well this year. Read more here- http://www.commodityonline.com/talk/COMEX-traders-predict-gold-at-$1600-by-December-19397-3-1.html
1) The Stimulus Effect: Including $1 trillion in liquidate infusions, the stimulus plan will pump $9.7 trillion into the economy, according to Bloomberg. As the Globe & Despatch reports flatly, "Many believe that the monetary stimulus efforts will cause a spike in inflation," driving gold higher.
2) COMEX Traders Hint $1,600 Gold by December: If gold trades at or above $1,600 by December, some 100,000 call option contracts will be "in the net." Big-money players Goldman Sachs and JPMorgan are reportedly helping to drive the action, at the of a huge purchase of gold futures contracts.
3) "Big Money" Inflows: In 2008, NYC-based hedge wealth Paulson & Co's flagship fund returned 37%, as the world markets burned. Paulson's bullish on gold, big culture, including the Mar. 17 purchase of 39.9 million shares of AngloGold, worth $1.28 billion. Other bigger hedge funds are piling into gold, too, including Eton Park Capital, Green light Money and Hayman Advisors.
4) China's Doubling Down! China just revealed that it has doubled its gold holdings to 1,054 tons. Yet that still only equals 1.6% of its entire reserves. As China moves out of U.S. Treasuries and into gold, this will help fuel the next leg of the run-up.
5) Demand Building across the Board: Worldwide on presentation for gold jumped by $29.7 billion in the first quarter, a 36% bolt, according to the World Gold Congress. Demand for gold ETFs (Exchange Traded Funds) rocketed 540% another trigger for the coming gold progress.
...