Jim Rogers: Gold Prices May Face a ‘Complicated Bottom’
In an interview with Kitco's Daniela Cambone, Jim Rogers stated that he doesn't think gold has found a bottom. 'I bought a little more at $1,200 just in case, but I don't think we made the final bottom.'
Rogers suggested gold might fall considerably in an interview with Max Keiser on RT last week. 'It may go down another 20% or 30%. Who knows? But by the end of this decade, it will be much higher... I suspect we are in the process of making a complicated bottom which may take a few days, weeks, months, maybe even another year or two. But then, ultimately, gold will make its fabulous bottom...then it will be off to the races again.
'Eventually, I will start buying again,' Rogers said. 'But I'm not selling my gold by any stretch of the imagination.'
Rogers noted the impact of the Fed's recent decisions on gold prices, lamenting the myopia of policymakers. 'The world can get along without central banks,' he suggested. 'Fortunately, since they're making so many mistakes, we're going to get rid of them eventually,' citing the numerous bad calls made by Bernanke and Greenspan and the de-chartering of the previous two central banks in the US.
For now, the future of gold prices remains murky, largely tied to the Fed's easing plans and its impact on gold futures. In the long term, however, central banks around the globe are quietly stockpiling the yellow metal.
'There isn't a central bank in the world that wants to go back to a gold standard,' Jim Rickards opined in The Daily Reckoning. 'But that's not the point. The point is whether they will have to.' Rickards believes central banks are stocking up now to prepare for a storm in currency markets.
Regards,
Jason Farrell
for The Daily Reckoning Australia