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John Paulson's gold-related holdings take a pounding: SPDR Gold Shares (GLD -2.1%), NovaGold...

John Paulson's gold-related holdings take a pounding: SPDR Gold Shares (GLD -2.1%), NovaGold Resources (NG -4.1%), Kinross Gold (KGC -3.9%), AngloGold Ashanti (AU -3.9%), Gold Fields (GFI -4.8%).
Comments (7)
  • Tom Au, CFA
    , contributor
    Comments (6775) | Send Message
     
    Probably because everyone thinks he will have to sell. But longer term, gold is one of the few beneficiaries of this mess.
    16 Apr 2010, 02:20 PM Reply Like
  • MarketGuy
    , contributor
    Comments (3983) | Send Message
     
    Indeed.
    16 Apr 2010, 02:23 PM Reply Like
  • Swass
    , contributor
    Comments (419) | Send Message
     
    Long term, yes. Hard to say if the powerful forces of deflation will win out prior to gold going to the moon. I personally think it may, but time will tell.
    16 Apr 2010, 02:22 PM Reply Like
  • Tom Au, CFA
    , contributor
    Comments (6775) | Send Message
     
    Even in deflation, gold figures to "do well."

     

    By going down less than everything else.
    16 Apr 2010, 02:25 PM Reply Like
  • Jason Tillberg
    , contributor
    Comments (1236) | Send Message
     
    Gresham's Law ("bad money drives out good").

     

    During the Roman Empire, Nero and subsequent rulers debased the Roman money. The consequence was as follows:

     

    People would hoard older, high silver content coins and pay their taxes in those with the least silver.

     

    Now, the Fed effectively debased the US dollar last year by buying $1.25 Trillion in MBS and the sellers of those MBS inturn bought Treasuries thus blatant monetization.

     

    Gresham's Law: HOARD GOLD AND SILVER!!
    16 Apr 2010, 02:24 PM Reply Like
  • lower98th
    , contributor
    Comments (1420) | Send Message
     
    Well...if you're exposed as being in the business of being quadruple short what you're "investing" in.....and investing only in what is the worst of the worst.....
    16 Apr 2010, 02:25 PM Reply Like
  • nightfly
    , contributor
    Comments (1017) | Send Message
     
    My PHYS gold position is doing quite well.
    16 Apr 2010, 02:34 PM Reply Like
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