We Are Seeing Dislocations In Many Financial Markets

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/7/3_Rule_-_We_Are_Seeing_Dislocations_In_Many_Financial_Markets.html

With specific regards to the gold trade, you are seeing a continuation of private buying of gold, and institutional selling of gold.  I think some of the institutional holders are credit-constrained, but there’s strong, strong underlying demand from individuals, wealthy people if you will.

So I think you are seeing a change in the holders of gold, away from the hot money, small hedge fund type of commodity speculator, who was buying gold in a momentum driven greed trade, to private holders who are buying gold as I have always bought gold, in the context of a fear trade.