PocketJJ

Is This the Gold Buying Opportunity of a Lifetime?

What makes you so sure that Lehman settlement signals the end of the deleveraging? The TARP, government capital infusion are just band-ads for the banks to stop the bleeding. The government would like them to use this opportunity to shore up other failing banks, and spend that free cash, but all that money is being used to pad against future losses. I am afriad we are only seeing the tip of the iceberg, big hedge funds like citadel will follow suit too. Their 30% drop in September sure doesn't look good, you can forget about October's return if they kept on selling those out of the money puts. As long as dollar is being demanded, it will remain strong, and as long as the dollar is strong, all other assets priced in dollar will be weak. I am not questioning the level of gold prices 10 years from now, I am questioning the price of gold at today's level.

Is This the Gold Buying Opportunity of a Lifetime?

I hope more people hold on or add to their gold positions. When the deleveraging really comes to an end, there will be no more longs in the gold trade and the result will be a dramatic cliff dive in gold prices. Just because there are still guys like RTSC and guys writing about inflations and how they are long gold, it is a good sign that we are NOT done deleveraging. I'll long some gold when everybody's done selling the inflation story, by then gold would hit a triple bottom... there's no gold rush!

Pound to 5-Year Low vs. Dollar on UK Recession Warnings

The euro is toast too, although it might fair better than the pound. The mighty dollar is making a dramatic comeback and so will the Yen. Looking for a pop? EUR/AUD, AUD/JPY. The aussie lending rate is still quite high compared to USD, and especially the Yen.

Citadel Hit Hard as Hedge Fund Withdrawals Continue

Re: JasonC,

Citadel lost money because they weren't beting the end of the world... They were doing the exact opposite, they kept on selling those out of the money puts, collecting pennies, and they got taken out because the world did skip a beat during that first week of October.

I read several of your comments on various articles, I gathered that you don't like speculators and especially speculators of inflation and you also are not very fond of people taking on a doomsday view of US markets. I am just curious to what you are invested in. Do you trade any asset classes sepcifically? I am guessing you are invested in AAA corps with relatively decent yields?

I think you have some interesting ideas as to how the next few years will play out. Can you go into more details on that please?