When the hedge fund algos inevitably turn the other way and unload stocks, a meaningful amount of the capital that leaves the stock market will likely rush into gold and silver. The record hedge fund net short position on the Comex will add fuel to the move in gold/silver.
James Anderson of Silver Doctors/SD Bullion invited me to discuss the largest stock bubble in U.S. history and why gold is extremely undervalued relative to the U.S. dollar. (Note: at the 20:44 mark I reference China’s foreign reserves to be $1.2 trillion. This is the dollar amount of China’s reserves; China’s total foreign reserve is $3 trillion).
You can learn more about Investment Research Dynamics newsletters by following these links (note: a miniumum subscription period beyond the 1st month is not required): Short Seller’s Journal subscription information – Mining Stock Journal subscription information