“Gold corrected 47 percent from 1974-1976, before rising more than eight times to $887 per ounce in 1980. A steep correction is normal before the parabolic move… Holding gold is a bet against central banks competency and given their track record that is certainly a bet I’d be happy to still take.”
-Albert Edwards, Societe Generale strategist, in a weekly strategy report from April 25, 2013
Albert Edwards, a strategist over at French banking and financial services company Societe Generale, is making the financial headlines today. Ben Eisen wrote in The Tell blog on the MarketWatch website this morning:
This just in: Societe Generale Strategist Albert Edwards sees a massive market crash on the horizon.
The S&P 500 index will tumble to 450. Investors will bid up haven assets like gold, which will climb seven-fold, and the 10-year Treasury note, whose yield will fall below 1%, he writes in his latest note to clients.
Gold will climb seven-fold? Exactly how high does Edwards see the yellow metal going? From the headline of Eisen’s post:
“Gold will climb to $10,000 when the correction comes, says SocGen’s Edwards”
Eisen also noted that Edwards making a gold price call of $10,000 isn’t exactly news. From the piece:
Ok, so maybe it’s a given that SocGen’s biggest permabear is still, well, a bear. He made the same call back in April, and he’s had the S&P target of 450 as far back as 2010.
Jenny Cosgrave reported on the CNBC website back on April 25:
Gold prices will top $10,000 per ounce, the stock market will tank and Treasurys will yield less than 1 percent, Societe Generale’s Albert Edwards forecast in a trademark bearish report on Thursday…
Edwards advised investors to take refuge in gold, and added that gold’s current fall-off was still in sync with his ultra-bullish outlook on the precious metal.
$10,000 gold. Hmm.
So why should anyone take what this investment strategist is repeating seriously?
Well, back in 2011 Reuters did credit Edwards for successfully-predicting the Asian financial crisis of 1997-98 and U.S. housing bust, while there were plenty of his colleagues around who saw neither.
By Christopher E. Hill, Editor
Survival And Prosperity (www.survivalandprosperity.com)
(Editor’s note: I am not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented herein)
Eisen, Ben. “Gold will climb to $10,000 when the correction comes, says SocGen’s Edwards.” The Tell. 30 Aug. 2013. (http://blogs.marketwatch.com/thetell/2013/08/30/gold-will-climb-to-10000-when-the-correction-comes-says-socgens-edwards/). 30 Aug. 2013.
Cosgrave, Jenny. “Warning! Stocks to Crash, Gold to Top $10,000: Albert Edwards.” CNBC. 25 Apr. 2013. (http://www.cnbc.com/id/100672709). 30 Aug. 2013.
Brettell, Karen. “From Ice Age to hyper-inflation with SocGen bear.” Reuters. 18 Aug. 2011. (http://www.reuters.com/article/2011/08/18/us-edwards-socgen-idUSTRE77H31320110818). 30 Aug. 2013.
Christopher E. Hill, Editor
11,976 Visits in June
454,328 Visits from
Please Rate this Blog HERE
- Final Vote Next Tuesday On Niles, Illinois, Gun Store And Range
- Does Robert Shiller See ‘Froth’ In U.S. Housing And Stocks?
- USGS Updates National Seismic Hazard Maps
- Downtown Chicago Could Receive Resilient Electric Grid
- Peter Schiff On Gold: ‘We’re Going To Have A Big Rally Probably Beginning Here In The Second Half Of 2014’
- Detroit Police Chief: ‘Good Detroiters Are Armed And Will Use That Weapon’
- Chicago Train Passengers Robbed At Gunpoint
- Jim Rogers: Some Currencies, Real Assets Could Shine When Coming Bust Arrives
- Illinois Governor Pushes Ban On ‘Assault Weapons,’ ‘High-Capacity’ Ammo Magazines
- Chicago’s Gun ‘Control’ Fetish Costing City Big Bucks
- Editor on 82 Shot, 14 Killed In Chicago Over Long July 4 Weekend
- Derek @ MoneyAhoy.com on 82 Shot, 14 Killed In Chicago Over Long July 4 Weekend
- Editor on Dick Cheney Warns Of Massive Terrorist Attack On U.S. Before Decade Is Out
- tj & the bear on Dick Cheney Warns Of Massive Terrorist Attack On U.S. Before Decade Is Out
- Editor on U.S. Senator Michelle Obama (D-IL)?
- Bill Taylor on U.S. Senator Michelle Obama (D-IL)?
- Not Prepared: 17 Signs That Most Americans Will Be Wiped Out By The Coming Economic Collapse | All Self-Sustained on The Percentage Of Adult Americans That Own Investment Gold Is…
- Editor on Deadly MERS Virus Lands In Chicago, Discovered In Indiana
- Editor on Video: SHTF In Venezuela
- tj & the bear on Deadly MERS Virus Lands In Chicago, Discovered In Indiana