On January 28th George Soros warned of a “gold bubble.” After this statement hit the wires inexperienced metals investors sold positions and gold fell to $1050 an ounce, the lowest price since October 2009. Good thing you sold that position huh?
But wait. Who is this buying almost $700,000,000 in gold bullion? Hey, it’s George Soros. What the? I thought he said there was a gold bubble and that everyone should be very cautious if not selling the metal. He just doubled his gold position after saying that everyone else should get out. Hmm…Usually Soros has only the best interests of people in mind. There’s no way he’d use his interview at Davos to jawbone down the lustrous stuff. He wouldn’t do that.
But he did.
Generally people like Soros do not like gold. Gold makes things very difficult for those such as Soros, who enjoy a mainline right into the central banks fiat money machines. Gold represents real money and is the last store of value for those who can not play the fiat money game, or choose not to.
So the fact that Soros talked down gold, and then doubled his position in it weeks later should raise some eyebrows for metals investors. If Soros is buying gold, indeed literally tons of it, what does that tell you about the future of the fiat currency system, which as of this writing is getting wobbly again?
It tells you that you had better stop listening to George Soros' words, and pay much more attention to his actions.
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