I sold roughly $5000 in Gabelli Gold, for tax purposes, as a nice gain, and put it all in Tocqueville Gold. Have 30,000 Taseko at average cost around 50 cents US or less. Think it will go much higher than where it is now, over $2.00 US, just for the copper they own. Gold may juggle around a little, but it is a scarce commodity that people like for its intrinsic value in scary times (Tell me that I will ever see non-scary times again, I'm 59.) Also, gold has some industrial uses, not just jewelry uses. When China revalues the yuan, it will be worth more dollars, hence driving the price of gold higher. Since gold reached $800 an ounce during the last cycle, why can't it reach $2000 in the next 3-4 years. This is not greed talking. The vast majority of the people in the world do not trust their governments or their currency, AND the US currency will not grow much stronger until we cut significantly into our fiscal deficits and balance of payments problems. I think 5-10% gold ownership in a portfolio makes sense, but balanced with mines, commodities companies, mutual funds.
donhamde |
