Even as gold continues to set nominal price records, major investors like George Soros and John Paulson are stocking up on the precious metal, which has gained almost 90 percent since the economic crisis began boiling over in 2007.
Soros Fund Management LLC, Paulson & Co. and Touradji Capital Management LP – the hedge funds of George Soros, John Paulson and Paul Touradji, respectively – each list gold as their biggest single holding in SEC filings. Even if they see the metal's price as "the ultimate bubble," in the words of George Soros, they clearly believe there's money to be made riding it.
"People who are selling gold here are making a big mistake," Michael Pento, a senior economist at Euro Pacific Capital, told Bloomberg. "The gold bull market will end when real interest rates become positive and we’re very far away from that. The Fed believes it’s going to have to print more money to keep real interest rates from rising and rescue the economy."
Comex gold futures for December delivery dipped slightly today, sinking $1.30 to trade at $1,351 per troy ounce. December silver futures notched up slightly, rising 6.1 cents to $27.24 per troy ounce.
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