and now he thinks it could go as low as $900

Jim Rogers Correctly Predicted Gold Would Fall To $1200, And Now He Thinks It Could Go As Low As $900


Now what caused it to finally go down, and as much as I love India and Indians, they are the largest buyers of gold in the world. And India has a huge balance of trade deficit. The largest drivers are oil and gold. You can't do anything about oil so the Indian politicians are blaming their problems on gold. And they've taken many measures, and more measures are coming to diminish or even eliminate the import of gold. I'm not the only person who saw that. They've been pretty loud about it. That was the main catalyst or the straw which broke the camel's back which made gold start going down finally, after 12 years of going up. And the foundation had been built for over 20 years and many, many fundamental things came together. But then after 12 years of a bull market more mines started opening, more gold mines were formed and then the Indians said, among others, but mainly the Indians said we're going to stop all this.
And by the way the French have also recently come out with measures that you cannot buy more than, anything, in cash for more than €1000, to limit the purchase of gold. The Germans are also taking measures to make it more difficult to buy and sell gold. So you have a lot of governments coming together with measures against gold and silver, but especially the Indians. And the Indians are the largest buyers.

All these things came together after 12 glorious years because the correction is worse than it would have been otherwise because of the 12 years. So it all fits together what did happen, what is happening, what will happen in gold. I'm not selling my gold. But even though it may be a couple of years more complicated base building, I fully expect the bull market to end in a bubble some day, and some day is not here yet

BI: Is there anything else our readers should know that I haven't asked you about?

JR: I'm not selling my gold. I'm skeptical, even though I expect gold may go down even more to $1,000 to $900. A 50% correction would be $960 or whatever it is. Now 50% corrections are quite normal in markets. What's not normal is for something to go up 12 years in a row.

So, it would be normal if gold did correct 50%. That might go some way towards shaking some of the faithful, some of the mystics. We got to shake out more people. I don't see any signs that the faithful, they've been worried about what's going on, but I don't see any signs yet that the faithful are giving up and selling their gold. Not just verbal despair, not just people talking about despair, but people acting. Then gold prices will make a nice, firm bottom.

Stay tuned for the next part of our interview with Jim Rogers

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