Joining us to talk about that, Gijsbert Groenewegen. He’s founder of Silver Arrow Capital Management. That’s a precious metals hedge fund. I mean, is it a new normal when it comes to gold and silver at this point? Let’s talk about gold, is it a new normal?
No it isn’t. It’s a normal reaction. When the market gets very panicky, they sell everything off and they go for cash and treasuries. Because that’s really the largest market where you can park your money. But from a fundamental point of view, the dollar and the treasuries are no better in my point of view than the solvent debt in Europe. So, I think it’s more a great opportunity to accumulate more gold and silver.
You’ll be buying out, big- time?
Yeah! You know, it could go a little bit lower. So, today already that today the price of gold went down to 1,532; was picked up. So, we closed at around 1,620. So, that tells you that there’s a lot of buyers waiting on the sidelines to pick up more of gold and silver.
What do you think is the most important thing to the gold market at this point, Gijs. Is it what’s happening in Europe? It must be. Or is it the general global macro-economic environment? I mean, what is the most important thing to the gold trade at this point?
Loading ...