The Sane Investor

Response to Bloomberg's 'Gold May Pay Only in Case of Maximum Despair'

Great article. I must say that I´m also a bit biased, leaning towards gold myself, but I read Quinn´s article yesterday and I think you did an excellent job off trouncing her.

I think most market commentators approach gold and silver with a certain amount of distaste, because from the offset it doesn´t appear to have any ¨real¨ value, or at least one derived from a practical use. However, people don´t even blink about spending thousands of dollars on jewelery that contains the stuff.

I´ve never been much of a gold guy, but I must say that after the bailout bill was passed, I jumped on board the precious metals train, because frankly I´m very uncertain about the dollar. Its recent rise has been truly strange as well, and I´m wondering if this might be another irrational bubble caused by panicky investors picking a safe haven. When the dollar does fall down, it´s going to be gold and silver that are going to step in.