Since when is the Fed targeting asset bubbles? They ignored housing for years! They could easily have instituted lending standards. They let the stock market bubble go on also in 2000. They are not talking down gold, as they would if they wanted to pop it. I am not convinced.
Analysts don’t know so much after all. I subscribed to Bill Fleckenstein, and he said the Fed will pause in June, because they really want to be done. I totally disagree with him. I think they will raise, because the inflation is still there, and they want to appear tough. Bill is highly regarded, but not always right.
Both Zeal and Sprott believe that China’s burgeoning economy will make commodities prices rise so much, that we can all get rich dabbling in copper and lead. I disagree with that also, because their premise is weak.
Time will tell who is right. The point is: analysts are often wrong, or they would all be billionaires by now. Zeal’s owner, Adam Hamilton, is not a billioanire to my knowledge, neither is Fleck or the Sprott group. Neither am I. But I realize they don’t know any more than I do!
