- Rick Rule – Here is Why Gold is Soaring & Stocks are Tanking!
With stock markets tanking around the world, and gold and silver soaring, today King World News interviewed one of the wealthiest and most street-smart pros in the business, Rick Rule. Rule lets KWN readers know why gold exploded today and also commented about the rise in gold by saying, “What took so long?” He also issued a warning about the fragility of the global financial system. Rule, who is now part of Sprott Asset Management had this to say about what is happening: “My temptation is to say, what took so long? The global macro news has been bullish for gold for some time. The markets response has been ‘out of the euro, into the dollar’ and since gold is denominated in dollars, this has led to gold price weakness.”
“I suspect that today we are seeing the beginnings of a more conventional trade, the realization that the entire fiat currency complex has the same sets of issues, and that a partial position in precious metals makes sense the liquid portions of portfolios. Certainly European investors have immediate cause for concern. With the latest European advances, Greece has more aggregate debt than it had before the recent bailout and haircut, and market interest rates on Greek debt, and Greek credit default rates, guarantee a continuing crisis in the country.