The Wall Street Journal, The Intelligent Investor
Growing numbers of investing experts have been declaring that gold is a bubble: an insanely overvalued asset whose price is bound to burst.
There is no basis for that opinion. And understanding why can help point an investor toward clearer thinking about frenzied markets.
Folks on both sides would be more intellectually honest if they admitted that they are just guessing what gold is worth. With no measures like price/earnings ratios or bond yields as benchmarks of value, figuring out whether the precious metal is cheap or dear is like trying to solve a Rubik's cube while you are blindfolded. . .View full article
Growing numbers of investing experts have been declaring that gold is a bubble: an insanely overvalued asset whose price is bound to burst.
There is no basis for that opinion. And understanding why can help point an investor toward clearer thinking about frenzied markets.
Folks on both sides would be more intellectually honest if they admitted that they are just guessing what gold is worth. With no measures like price/earnings ratios or bond yields as benchmarks of value, figuring out whether the precious metal is cheap or dear is like trying to solve a Rubik's cube while you are blindfolded. . .View full article
