Leeb – The Catalyst That Will Take Gold Over $10,000
August 27, 2012
Today acclaimed money manager Stephen Leeb spoke with King World News about the “… major catalyst for the next leg in this bull market, a leg that I contend could easily take us into five digits (above $10,000) in gold.” Here is what Leeb, who is Chairman of Leeb Capital Management, had to say: “Gold had been up 8 days in a row and sort of flatlined today. Silver has been up for six days in a row, and it’s up almost another 1% today. These markets are catching on to something changing. One of the things that is changing is Europe. Merkel is no longer opposed, as she once was, to central bank buying of bonds.”
Stephen Leeb continues:
“I think she wants Greece to remain in the euro, and there is no way that happens if austerity is the primary objective. All of the bad news, including slowing in China, is just further argument for more easing. But I do think the Chinese, sitting on well over $3 trillion, have it in their power to arrest any slowdown, any time they want.
Recently, one of the interesting things was the BHP announcement that they were going to significantly reduce capital expenditures. This has been widely interpreted, even by Kloppers, who runs BHP, as a very strong statement that China is down, and maybe down for the count….