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Pierre Lassonde - This Gold Bull Market is Far From Over
With so much worry surrounding the gold and silver markets, today King World News interviewed legendary Pierre Lassonde, to get his thoughts on what to look for going forward. Pierre is arguably the greatest company builder in the history of the mining sector. He is past President of Newmont Mining and past Chairman of the World Gold Council and current Chairman of Franco Nevada. When asked about the plunge in gold, Lassonde responded, “On the correction, I would say to people don’t panic. If you look back at history, for example, the 1970s bull market, between 1971 to 1980 there were no less than nine corrections. The corrections ranged from 11% to 43%. A lot of them were in the 15%, 20%, 28%, 30% (range).”
© 2011 by King World News®. All Rights Reserved. This material may not be published, broadcast,
rewritten, or redistributed. However, linking directly to the blog page is permitted and encouraged.
December 21, 2011
Pierre Lassonde continues:
“This bull market now, since 2001, has had six corrections, this is the seventh one. Nothing unusual at all. I would say this is just par for the course, the climbing of the famous wall of worry and I suspect we are going to have a few more corrections before this bull market is over.
My feeling is that the gold price will have a bit of a headwind for the coming six to twelve months. It will have headwinds coming from Europe. The Germans are so insistent on deflating the European economies that they are in recession, but they are flirting with, literally, depression. That is not good for gold in the short-run.
In the long-run what are they going to do? They are going to print money. You just have to look at the European Central Bank reserve and their reserves have doubled in the last three years, which means they are printing money. But they are not telling anybody....
Continue reading the Pierre Lassonde interview below...
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“But in the short-run, headwinds from Europe. Headwinds (also) from China, the Chinese economy is also slowing down. Headwinds from India, the largest gold market in the world. The rupee has hit a new low against the dollar.
In fact the only place in the world where things are not too bad is actually the United States. Even though Americans look at their country and think it’s falling apart, the reality is it’s the best of the worst of what we’ve got out there.
When I look at that I think, my personal view is that it might be challenging for the gold price in the short-run, the next six to nine months, to do a heck of a lot better than it did last year.
When asked where he sees a floor in the price of gold, Lassonde responded, “Around the $1,500 mark. I think there’s an 80% chance the gold price will bottom out in the $1,500s. After this consolidation we will resume the gold bull market. It’s not over, far from it.”
That is what I like about the great ones, they never, ever panic. The KWN interview with Pierre Lassonde will be available shortly and you can listen to it by CLICKING HERE.
© 2011 by King World News®. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. However, linking directly to the blog page is permitted and encouraged.
Eric King
