In their January 2016 paper entitled «
Are Gold Bugs Coherent?»
I've never
been a gold bug.
There
are gold bugs and then there are trend followers.
I was wondering if there
were any gold bugs out there who'd like to talk about their views.
Not exact matches
Even some long - time
gold bugs are beginning to have doubts.
«The
gold bugs are still not believing in it,» McClellan said.
The US election
is not as scary as some
gold bugs imagined.
«My firm and I
are not
gold bugs,» said Bernstein, a former chief investment strategist for Merrill Lynch who started his eponymous firm in 2009, at the Morningstar ETF conference on Thursday.
While innovation should always
be encouraged, Bitcoin isn't yet fit as a place for orphans and widows to shelter their nest eggs — although there
are admittedly plenty of
gold bugs who would say the same about fiat currencies.
Old
gold bugs know the old plaint, «
gold,
gold, you
're makin» me old.»
Some
gold bugs argued that the price
was due to climb to $ 10,000 or more.
I
am a sometimes
gold bug and hard - money advocate, and a hard - core fiscal conservative.
Analysts who retain sympathy for the
gold standard, like self - confessed «
gold bug» John Mauldin, have always understood that the main argument in favor of
gold is that it imposes an unbreakable trade and capital flow discipline — indeed that
is also the main argument against
gold — but many of them have tended to de-emphasize reserve currency economics mainly, I think, because this particular problem
is to them subsumed under their more general concerns about money.
And you know I
'm not one of these big
gold bugs but I definitely feel like there
's an advantage to having a pegged currency because it forces decision makers within the country to spend reasonably because whenever they don't what happens
is the currency devalues everyone will then suck the
gold out of the country.
As a long time
gold, silver, platinum, and palladium
bug I will say that it
is a good thing that I caught on to bitcoin $ 24 ago.
In that article, I posed the question if Apple's market value really should
be more than four times the market value of all the
gold reserves and resource held by all the
gold companies that comprise the HUI
gold bugs index.
I noticed that there
are a plenty of
gold bugs among regular readers as
gold gathered the most votes.
Before I start today's article, I just want to clarify one statement from my article about diversification in which I discussed how most
gold and silver mining stocks are still undervalued heavily by comparing the cumulative market cap of all gold stocks in the HUI Gold Bugs index to the market caps of well - known single stocks like Apple, Facebook and Ama
gold and silver mining stocks
are still undervalued heavily by comparing the cumulative market cap of all
gold stocks in the HUI Gold Bugs index to the market caps of well - known single stocks like Apple, Facebook and Ama
gold stocks in the HUI
Gold Bugs index to the market caps of well - known single stocks like Apple, Facebook and Ama
Gold Bugs index to the market caps of well - known single stocks like Apple, Facebook and Amazon.
In fact, we could own every single company in the entire HUI
gold bug index, and their total market cap would incredibly
be less than 1/4 the market cap of one company, Apple.
We
are not perma - bulls and do not consider ourselves «
gold bugs», we simply see market conditions as bullish for
gold in the longer term.
Should Apple's market value really
be in excess of 4 - times the market value (the cumulative market capitalization) assigned to all the companies that comprise the entire HUI
gold bugs index, and all the
gold reserves and resources held by them?
Consider that despite the stellar performance of
gold mining stocks this year that have been, by far, the strongest performing asset class of 2016 (along with silver mining stocks), and that even with the massive growth in market cap of PM stocks during H1 2016, the total market cap of all the mining stocks that comprise the HUI Gold Bugs index, as of 2 August 2016, is still barely larger than 1/3 the market cap of Facebook and Ama
gold mining stocks this year that have
been, by far, the strongest performing asset class of 2016 (along with silver mining stocks), and that even with the massive growth in market cap of PM stocks during H1 2016, the total market cap of all the mining stocks that comprise the HUI
Gold Bugs index, as of 2 August 2016, is still barely larger than 1/3 the market cap of Facebook and Ama
Gold Bugs index, as of 2 August 2016,
is still barely larger than 1/3 the market cap of Facebook and Amazon.
People may call Bitcoin «digital
gold,» but
gold does not require periodic
bug fixes and
is not subject to backwards - incompatible upgrades.
by Before I start today's article, I just want to clarify one statement from my article about diversification in which I discussed how most
gold and silver mining stocks are still undervalued heavily by comparing the cumulative market cap of all gold stocks in the HUI Gold Bugs index to the market caps of well - known -LSB-
gold and silver mining stocks
are still undervalued heavily by comparing the cumulative market cap of all
gold stocks in the HUI Gold Bugs index to the market caps of well - known -LSB-
gold stocks in the HUI
Gold Bugs index to the market caps of well - known -LSB-
Gold Bugs index to the market caps of well - known -LSB-...]
Could that level
be reached in a final puke fest and clean out of
gold bugs?
In the mirror we have the mess that
is the HUI
Gold Bugs index.
Gold bugs look at gold as a currency, but it is not one and unlikely to be one in our lifet
Gold bugs look at
gold as a currency, but it is not one and unlikely to be one in our lifet
gold as a currency, but it
is not one and unlikely to
be one in our lifetime.
While geopolitical and economic factors
are pushing the price of
gold higher, the extreme dislocation between the western Central Bank short position in
gold via several different forms of paper
gold and the amount of available physical
gold to deliver into buyers» hands
is going to move
gold in a way that will shock and awe everyone except maybe the hardiest
gold «
bugs.»
However, here
are some arguments why one should think twice before jumping in bed with
gold bugs, or at least remain sober while determining
gold's weight in the portfolio.
Though
gold bugs make it sound as such,
gold is not the only and not the best alternative if the worst fears come to pass.
With a more levelheaded approach to precious metal investing than the traditional «
gold bug,» Luke Burgess has proven that rational thinking in a largely emotional market can
be incredibly profitable.
Today as back then, most analysts and the media
are completely ignoring
Gold; it
's only the so called
Gold bugs that continue to believe in this bull market.
Well I
'm not a
Gold Bug; I
'm a realist and an economist who studies not only the past but human nature as well.
Gold bullion and the
Gold BUGS Index (HUI)
are close to breaking out to the upside on the daily charts.
Perhaps today the absurdity has reached the apex of its crescendo with this utterly ridiculous «letter to
gold bug» published by Marketwatch: It
's time to surrender and let the yellow metal fall to its bear market low
The HUI
is the AMEX
Gold Bugs Index, which
is has a non-hedger focus and also includes non-North American constituents (Africans and Buenaventura).
The ratio of the HUI (NYSE Arca
Gold BUGS Index) to gold resides at 2014 levels when gold was in full bear market retreat as opposed to the current two - year bull market that is alive and well and making progr
Gold BUGS Index) to
gold resides at 2014 levels when gold was in full bear market retreat as opposed to the current two - year bull market that is alive and well and making progr
gold resides at 2014 levels when
gold was in full bear market retreat as opposed to the current two - year bull market that is alive and well and making progr
gold was in full bear market retreat as opposed to the current two - year bull market that
is alive and well and making progress.
MC: Balmoral has
been drilling on its
Bug Lake
Gold Trend, part of the broader Martiniere Property in Quebec.
Silver
bugs may
be forgiven their enthusiasm to buy the white metal in preference to the yellow, at this
gold - silver ratio.
Even more interesting
is that fact that the mining stocks (HUI Amex
Gold Bugs Index) rejected repeated attempts to take them into negative territory and they finished up over 6 points — 3.6 % — on the day.
The economist and scandalous «
gold bug» Peter Schiff has
been a «bitcoin hater» for quite some time.
The typical
gold bug's life
is one of grievous woe, unending complaint, violent gnashing of teeth and dreadful wails of despair, interspersed with brief moments of glory.
The study compared the main different ways of diagnosing C - Diff, including the two «
gold - standard» methods: a cytotoxin assay, which looks for the presence of C - Diff toxin in faecal samples; and cytotoxigenic culture, which looks to see if there
are bugs present in faecal samples that could possibly produce C - Diff toxin.
The bead chain
is 16 inches long, made of
gold or rhodium plated brass with a lobster clasp, and holds this beautiful little lady
bug coated with red and black enamel.
But I digress, for those
bugs do not take away from my overall impression of King Arthur's
Gold, which
is a great multiplayer game that stands out from the crowd by
being something that embraces lunacy and remains grounded with simple mechanics that allow for a variety of strategies.
Learning that the clue to the whereabouts of the treasure
is to
be found in the Edgar Allan Poe story The
Gold Bug, Kincaid and Kickabout finally manage to convince Judy that Jackson
is her enemy.
Jerry Goldsmith (1968) **** Bangkok Dangerous Brian Tyler (2008) *** The Banner Saga Austin Wintory (2014) **** Basic Instinct Jerry Goldsmith (1992) ***** Basic Instinct 2 John Murphy (2006) *** Batman Danny Elfman (1989) **** Batman Returns Danny Elfman (1992) ** Batman Begins Hans Zimmer and James Newton Howard (2005) ** Batman v Superman: Dawn of Justice Hans Zimmer and Tom Holkenborg (2016) * * batteries not included James Horner (1987) *** 1/2 Battle: Los Angeles Brian Tyler (2011) ** Battleship Steve Jablonsky (2012) * Battlestar Galactica Richard Gibbs (2004) ** Battlestar Galactica: Season One Bear McCreary (2005) ** 1/2 Battlestar Galactica: Season Two Bear McCreary (2006) ** 1/2 Bears George Fenton (2014) **** Beat the Drum Klaus Badelt and Ramin Djawadi (2003) **** The Beautiful Country Zbigniew Preisner (2004) **** A Beautiful Mind James Horner (2001) **** Bee Movie Rupert Gregson - Williams (2007) ****
Being Julia Mychael Danna (2004) **** Belle Rachel Portman (2014) *** Beloved Infidel Franz Waxman (1959) ** 1/2 Below Graeme Revell (2002) * Ben - Hur Marco Beltrami (2016) ** Beneath the Planet of the Apes Leonard Rosenman (1970) **** Beneath the 12 - Mile Reef Bernard Herrmann (1953) ***** Beowulf Alan Silvestri (2007) *** The Best Exotic Marigold Hotel Thomas Newman (2012) **** The Best of Everything Alfred Newman (1959) *** The Best Offer Ennio Morricone (2013) **** 1/2 The Betsy John Barry (1978) **** A Better Life Alexandre Desplat (2011) **** Between Heaven and Hell and Soldier of Fortune Hugo Friedhofer (1956/5) ***** Beyond Borders James Horner (2003) **** Beyond Rangoon Hans Zimmer (1995) **** 1/2 Beyond the Gates Dario Marianelli (2005) **** Beyond the Poseidon Adventure Jerry Fielding (1979) **** 1/2 The Beyondness of Things John Barry (1998 concept album) ***** The BFG John Williams (2016) *** 1/2 Bhopal: A Prayer for Rain Benjamin Wallfisch (2014) **** The Bible Hans Zimmer and Lorne Balfe (2013) * Bicentennial Man James Horner (1999) **** 1/2 The Big Bounce George S. Clinton (2004) *** The Big Bus David Shire (1976) *** The Big Empty Brian Tyler (2003) ** 1/2 Big Fish Danny Elfman (2003) *** 1/2 The Big Kahuna Christopher Young (1999) *** 1/2 Big Miracle Cliff Eidelman (2012) *** The Big Sleep Jerry Fielding (1978) **** Big Wednesday Basil Poledouris (1978) **** Bilal: A New Breed of Hero Atli Örvarsson (2016) *** Birdman of Alcatraz Elmer Bernstein (1962) ***** Birth Alexandre Desplat (2004) **** The Birth of a Nation Henry Jackman (2016) *** Bite the Bullet Alex North (1975) ***** Black Chris Tilton (2006) **** The Black Bird Jerry Fielding (1975) **** 1/2 The Black Cauldron Elmer Bernstein (1985) *** 1/2 The Black Dahlia Mark Isham (2006) ***** Black
Gold James Horner (2011) **** 1/2 Black Hawk Down Hans Zimmer (2001) **** 1/2 The Black Hole John Barry (1979) **** 1/2 Black Panther Ludwig Göransson (2018) **** Black Rain Hans Zimmer (1989) * Black Robe Georges Delerue (1992) **** Black Sails Bear McCreary (2014) **** The Black Stallion Carmine Coppola (1979) and The Black Stallion Returns Georges Delerue (1983) **** Black Sunday John Williams (1977) *** 1/2 The Black Tulip Christopher Young (2010) **** Black Widow Michael Small (1987) *** Blade II Marco Beltrami (2002) *** Blade Runner 2049 Hans Zimmer and Benjamin Wallfisch (2017) ** Bless the Child Christopher Young (2000) ***** Blizzard Mark McKenzie (2003) **** 1/2 Blood Diamond James Newton Howard (2006) *** 1/2 Blood In, Blood Out Bill Conti (1993) **** Bloodline Ennio Morricone (1979) *** The Blue Lagoon Basil Poledouris (1980) **** The Blue Max Jerry Goldsmith (1966) ***** The Blue Planet George Fenton (2001) ***** Bobby Jones: Stroke of Genius James Horner (2004) *** Body Double Pino Donaggio (1984) **** Body Heat John Barry (1981) ***** The Bodyguard Alan Silvestri (1992) ** Bolt John Powell (2008) *** 1/2 Bonnie & Clyde John Debney (2013) *** 1/2 Book of Blood Guy Farley (2009) *** The Book of Henry Michael Giacchino (2017) *** The Book of Stars Richard Gibbs (1999) *** 1/2 The Book Thief John Williams (2013) **** Born in China Barnaby Taylor (2016) **** Born on the Fourth of July John Williams (1989) ***** The Bounty Hunter George Fenton (2010) *** The Bourne Identity John Powell (2002) *** 1/2 The Bourne Supremacy John Powell (2004) *** 1/2 The Bourne Ultimatum John Powell (2007) **** The Bourne Legacy James Newton Howard (2012) ** The Boy in the Striped Pyjamas James Horner (2008) **** 1/2 The Boys from Brazil Jerry Goldsmith (1978) ***** The Boxtrolls Dario Marianelli (2014) *** 1/2 The Boy Who Could Fly Bruce Broughton (1986) **** Brainstorm James Horner (1983) ***** Brake Brian Tyler (2012) *** Brannigan Dominic Frontiere (1975) **** The Bravados Alfred Newman and Hugo Friedhofer (1958) *** The Brave Little Toaster David Newman (1986) **** 1/2 The Brave One Dario Marianelli (2007) ** 1/2 Breach Mychael Danna (2007) **** Breakheart Pass Jerry Goldsmith (1975) *** 1/2 Breakdown Basil Poledouris (1997) **** Breakout Jerry Goldsmith (1975) *** Breathe Nitin Sawhney (2017) *** The Bride Maurice Jarre (1985) **** The Bridge at Remagen Elmer Bernstein (1969) **** Bridge of Spies Thomas Newman (2015) **** 1/2 Bridget Jones's Baby Craig Armstrong (2016) *** Bring Me the Head of Alfredo Garcia and The Killer Elite Jerry Fielding (1974/5) ***** Broadcast News Bill Conti (1987) *** Broadchurch Ólafur Arnalds (2015) **** 1/2 Broken Arrow Hans Zimmer (1996) * Broken Horses John Debney (2015) *** 1/2 Bruc Xavier Capellas (2010) *** 1/2 Bruce Almighty John Debney (2003) *** The Bucket List Marc Shaiman (2007) *** Buddy Elmer Bernstein (1997) ****
Bug Brian Tyler (2006) *** A
Bug's Life Randy Newman (1998) **** 1/2 Bugsy Ennio Morricone (1991) *** 1/2 Bullet to the Head Steve Mazzaro (2012) *** Bulletproof Monk Eric Serra (2003) *** The «Burbs Jerry Goldsmith (1989) *** 1/2 Bury my Heart at Wounded Knee George S. Clinton (2007) *** 1/2 The Butterfly Effect Michael Suby (2004) *** 1/2 By Love Possessed Elmer Bernstein (1961) ****
Long before that rascally
Bugs Bunny tormented Elmer Fudd in cartoon shorts, British author and illustrator Beatrix Potter's Peter Rabbit
was the
gold standard of naughty anthropomorphic carrot crunchers.
By the same token, a few years ago visitors to a well - known UK test venue never guessed that the noisy Lamborghini pounding the high - speed track
was ironing out
bugs in the transmission for the Veyron, just as few outsiders realised that the stretched 348 on
gold wheels
was an early test car for the Enzo or that the scruffy Metro van ragging past them on the A40
was an MGF underneath.
But as
Gold bug and others have pointed out... It
's not a way to profit... And therefore isn't used because that
is all this
is about... «we've got no money....