Jim,

Here is an interview with Nomi. What an eye opener. Thank god we learned about gold long ago from you who understood it all long before these people had the guts to warns us. Way too late now Nomi, but thanks for the tally.

CIGA BJS

Click here to view the interview…

Jim,

Rogers contradicts Roubini. Rogers believes commodities and gold prices are in a bull market and are not bubbles.

However, Rogers sees a bubble in the U.S. bond market.

Regards,
CIGA Christopher

Rogers Says Roubini Is Wrong on Bubbles as Gold, Stocks Rally
By Brian Swint and Mark Barton

Nov. 4 (Bloomberg) — Jim Rogers, the investor who predicted the start of the commodities rally in 1999, said that Nouriel Roubini is wrong about the threat of bubbles in gold and emerging-market stocks.

Many commodities are still down from record highs and equity markets aren’t on the brink of collapse, Rogers, chairman of Singapore-based Rogers Holdings, said in an interview on Bloomberg Television today. The price of gold will double to at least $2,000 an ounce in the next decade, he said.

Roubini, the New York University professor who warned in 2006 about the coming financial crisis, said on Oct. 27 that investors are borrowing dollars to buy assets and creating “huge” asset bubbles. Rogers said that he’s not buying stocks now, though he may buy more gold.

“What bubble?” Rogers said, when asked if he agreed with Roubini’s view. “It’s clear Mr. Roubini hasn’t done his homework, yet again.”

Roubini told a conference in South Africa last month that investors were doing “the mother of all carry trades” by buying assets with borrowed dollars. He said emerging-market equities are showing a bubble, that gains in some developing- nation currencies are becoming “excessive” and that the rally in oil is “not justified by the fundamentals.”

More…

Dear Jim,

From this morning’s quarterly refunding announcement:

"Despite the recent decision to reduce the size of the program, Treasury retains the flexibility to increase the SFP in the future. Such a decision will be made in coordination with the Federal Reserve."

More…

That is to say, it looks as though the Fed, despite its much-vaunted independence, is at least temporarily replacing most of this sterilized funding with QE in order to let the Treasury avoid the debt ceiling for a while longer.

Regards,
CIGA John