DISTRUSTING THE GOLD TRADE: A RESPONSE
By Peter Schiff
In
an article entitled "Ignore the 'buy gold now' crowd" on CBS MoneyWatch
this Monday, columnist and equities analyst Larry Swedroe criticizes
forecasters who remain bullish on gold despite its monumental
decade-long run.
He
links to an interview in which I forecast that gold will rise above
$5,000/oz before this bull market ends. Unsourced, Swedroe modifies my
prediction to $2,300/oz by the end of 2013. While I typically forecast
overall market direction rather than timing, I'm fairly comfortable with
the words Swedroe put in my mouth. I believe gold will continue to rise
and close 2013 significantly higher than present levels, and I'm
invested accordingly. What I find most disconcerting in Swedroe's piece
is everything that follows. He goes on to question both a) investment
forecasting as a practice and b) gold as an asset in general.
CLICK HERE FOR FULL ARTICLE >>Peter Schiff is a well-known commentator appearing regularly on CNBC, TechTicker and FoxNews. He is often referred to as "Doctor Doom" because of his bearish outlook on the economy and the U.S. Dollar in particular. Peter was one of the first from within the professional investment field to call the housing market a bubble. Peter has written a book called "Crash Proof" and a follow-on called "The Little Book of Bull Moves in Bear Markets". He is the President of EuroPacific Capital, which is a brokerage specializing in finding dividend-yielding, value-based foreign stocks.
