Bullion, Bucks & Black Gold

Aired on CNBC on November 23, Peter Beutel, Cameron Hanover president; Nick Bennenbroek, Wells Fargo head of currency strategy; Philip Gotthelf, Equidex president; & CNBC’s Rick Santelli discuss the dollar, oil and gold.

This ten minute clip will go a long way in explaining some of the major factors behind the current very bullish posture of gold, as well as provide some clarity on why gold is not in a bubble as many analysts will have you believe. The beauty of it is that Santelli and Gotthelf are uninterrupted by the anchors and discuss freely some very important stuff, which rarely finds quality mainstream media airtime.

Some pearler quotes from the clip:

Rick Santelli 7min 20secs:

Every time gold goes up $100 every central banker ought to be hiding in a closet because that’s a vote of no confidence in everything they’re doing.

Philip Gotthelf follows on:

global central banks are using gold as a hedge which is quite frightening…central bankers must be petrified…

And after Santelli briefly mentions the US administration’s scheme to suppress the gold price, something Human Action has referred to before, we get onto some price estimates for gold should it again become the world’s primary monetary asset, Gotthelf says:

If you take the entire world’s GDP, and divide it by the available above-ground gold stock, price estimates for gold could be anywhere between $11,000/oz to $50,000/oz…

And just to rap it up (this post, not the video), Gotthelf hits the note like only Luciano could:

When central bankers begin to sew gold into their lapels, investors should become very nervous.