Thursday, May 16, 2013

Credit Suisse Says Gold to $1100 Just Hours After We Suggest a Long Trade

Will this thwart my plans for world domination? To quote the great Jimmy James*:

...but Jimmy has fear? A thousand times no. I never doubted myself for a minute for I knew that my monkey strong bowels were girded with strength like the loins of a dragon ribboned with fat and the opulence of buffalo... dung.
Well there you go. Pretty much says it all. From Bloomberg:
Gold, down 17% since January, is poised to lose 20% in a year as inflation fails to accelerate and with the worst risks to the global economy waning, Credit Suisse Group AG said.

Gold will trade at $1,100 an ounce in a year and below $1,000 in five years, according to Ric Deverell, head of commodities research at the bank. Lower prices are unlikely to lure more central-bank buying, said Deverell, who worked at the Reserve Bank of Australia for 10 years before joining Credit Suisse in 2010.
“Gold is going to get crushed,” Deverell told reporters in London today. “The need to buy gold for wealth preservation fell down and the probability of inflation on a one- to three-year horizon is significantly diminished.”...MORE
*News Radio -Episode #57 "Super Karate Monkey Death Car
"The original title of this book was 'Jimmy James, Capitalist Lion Tamer' but I see now that it's... 'Jimmy James, Macho Business Donkey Wrestler'... you know what it is... I had the book translated into Japanese then back in again into English. Macho Business Donkey Wrestler... well there you go... it's got kind of a ring to it don't it?
Anyway, I wanted to read from chapter three... which is the story of my first rise to financial prominence...

I had a small house of brokerage on Wall Street... many days no business come to my hut... my hut... but Jimmy has fear? A thousand times no. I never doubted myself for a minute for I knew that my monkey strong bowels were girded with strength like the loins of a dragon ribboned with fat and the opulence of buffalo... dung.

...Glorious sunset of my heart was fading. Soon the super karate monkey death car would park in my space. But Jimmy has fancy plans... and pants to match. The monkey clown horrible karate round and yummy like cute small baby chick would beat the donkey."
See also:
NewsRadio's Season 3 Episode 9:
Jimmy: Be careful, Beth, because the stock market can be a cruel mistress.
Beth: Well, so can I, but that's not how I want to make my money any more.
-----
Bill: Have you ever lost something very dear to you?
Dave: Yeah, when I was 12, we had this dog...
Bill: I was actually thinking more along the lines of a large sum of cash.
-----
Jimmy: [about a stock ticker] It's just like television, except without all those people doing stupid things to a fake laugh track.
-----
Bill: Give a man a fish, and he'll eat for a day. Teach a man to fish...
Jimmy: ...and he'll spend all his time in the basement tying flies and neglecting his personal hygiene.
-NewsRadio: "Stocks" at IMDB
And the long trade? Fine, thanks for asking.