Tuesday, May 22, 2012

Agnico CEO Calls for $3,000 gold

Agnico CEO Sean Boyd said today on King World News that he is calling for $3,000 gold in the next 24 months. He's never called for gold to be this high before.

Here's his reasoning: “I think you’re in a situation right now where the problems in Europe are front page and it has hurt the euro. So the US dollar is stronger. If you look at the US dollar, that story is on page 3 or 4. It will be a front page story soon. The debt ceiling has to be raised and we really haven’t fixed a lot of the issues, whether it’s in the US or in Europe.”

This is what I've been saying for quite some time now. The US economy and the US dollar is not front page news - yet. Once people realize how much trouble we are in, I think we will be in for a major rally. This could happen after QE3, this could happen when the debt ceiling needs to be raised, again. They will wait to the last minute to do this...

He is also bullish on the mining stocks, and the juniors, which I think will produce the biggest returns going forward: "When it turns and gold turns, this is where you are going to get the best leverage. You are going to get the best leverage from the quality stocks, and then, ultimately that will move down the chain and you’ll see some huge returns coming out of the juniors at some point.”

GOLD IS GOING TO $5,000 an OUNCE. End of story. 

Read more at King World News.

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