The Other “Great Rotation”

Posted by

I’m not rooting against your precious metals positions so please don’t shoot the messenger…

From Reuters:

“It’s clear the funds are not coming in to support the market, and I don’t see any physical interest either. There has been a clear rotation out of gold and other commodities into equities,” said Bill O’Neill, partner of commodities investment firm LOGIC Advisors.

Is he correct? Are hedge funds really selling gold positions because they think accommodation from the Fed is going away? If so, then once they realize it isn’t going away will they come back? Or have they decided that equities and real estate are a better hedge anyway when inflation runs between between 2% and 5% (as the academic literature suggests)?

Source:

PRECIOUS-Gold dives to lowest since July on Fed, hedge fund talk (Reuters)

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Wealthcast Media, an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers

Please see disclosures here.

What's been said:

Discussions found on the web
  1. Blue Coaster33 commented on Apr 30

    The Ships’s Voyages

    I think technology just can make it even worse. Now there is a channel to under no circumstances treatment, now there will not be considered a probability for them to find.

  2. facebook old version commented on Sep 25

    … [Trackback]

    […] Read More here to that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  3. Sweet hampers commented on Sep 29

    … [Trackback]

    […] Info to that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  4. Automated Regression Testing commented on Nov 25

    … [Trackback]

    […] Read More to that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  5. cbd reddit commented on Nov 27

    … [Trackback]

    […] Read More here on that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  6. rbc royal bank sign in commented on Nov 29

    … [Trackback]

    […] Here you can find 8521 additional Information on that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  7. Electricity Rates commented on Dec 10

    … [Trackback]

    […] Information on that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

  9. does hemp oil have thc commented on Jan 05

    … [Trackback]

    […] Read More here to that Topic: thereformedbroker.com/2013/02/21/the-other-great-rotation/ […]

HowIInvestMyMoney