Thursday, November 26, 2009

Glitter

clipped from www.forbes.com

Don't be frightened by talk of a gold bubble. There won't be a bubble unless the cost of money rises sharply, the dollar strengthens and the budget deficits are reduced--scenarios that seem remote. According to Frank Holmes, CEO of U.S. Global Investors, gold trades 80% of the time in an inverse relationship to the dollar.

"I hate predicting gold prices attached to specific dates, but my gut tells me this current part of the gold bull market, which should last a few more years, is far from over," says my gold guru, Frank Giustra, a Canadian mining entrepreneur from Vancouver. "There is a growing realization that the U.S. dollar and other currencies are not going to offer the safe harbor feature that gold and other hard assets will."

All that glitters may not be gold, but the metal sure is shining brightly. Put a little sparkle in your portfolio.