Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

Gold Seeker Weekly Wrap-Up: Gold and Silver Gain Over 2% on the Week
By: Chris Mullen, Gold Seeker Report

5 reasons why commodities are the place to be in 2018
By: Richard (Rick) Mills

Loan Shark Nation: Forcing Our Kids To Choose Between Student Loans And Everything Else
By: John Rubino

Why the Debt Ceiling Means Nothing, Yet Everything
By: Nathan McDonald

COT Gold, Silver and US Dollar Index Report - February 16, 2018

GDX Weathers Stock Selloff
By: Adam Hamilton, CPA

5 Things to Know About the Chinese New Year
By: U.S. Global Investors

The Dollar and Gold for 2018
By: Gary Christenson

Is The Fed Back To “Quantitative Easing?”
By: Dave Kranzler

GoldSeek Radio Nugget: Arch Crawford and Chris Waltzek


GoldSeek Web

Will others now follow Stanley Druckenmiller’s 20% gold allocation?

 -- Published: Monday, 17 August 2015 | Print  | Disqus 

By Peter Cooper

Billionaire investor Stanley Druckenmiller has just raised his gold holdings to 20 per cent of the asset allocation reported by his Duquesne Family Office, according to

He’d not been a big investor in gold in the recent past despite public warnings about the danger of zero interest rates and money printing. But this latest filing showed that at the end of June his largest portfolio allocation was 2.9 million shares in the GLD exchange traded fund, or 20 per cent of total holdings.

Trend setter?

You have to wonder if this will not set a trend among hedge fund managers whose raison d’être is to hedge risk? Gold is the classic hedge against both deflation and inflation as a store of value, although ironically its recent four-year bear market makes it an even better buy at the moment.

Many potential investors are waiting for the gold price to collapse by 50 per cent from its peak of $1,923 almost four years ago. Jim Rogers is among them.

However, trying to call the bottom could be an expensive mistake if gold now continues higher from its recent summer lows. To be fair it has already completed a 50 per cent retracement of its bull-market advance and that could be enough before resuming its upward trajectory (click here).

Chinese devaluation

More fundamentally the Chinese devaluation that started last week could be an important catalyst for higher gold prices. First, it was the stock market boom in China that cut demand for gold in the first half and that has now gone bust; and secondly the devaluation policy response will cause a rush to buy hard assets before the yuan drops in value again.

Given that China was the biggest buyer of gold last year this is very important for the gold market. Could it be that New York speculators will now jump on this bandwagon and Mr. Druckenmiller has just gotten in ahead of the crowd?

The price action for gold over the past week since the Chinese devaluation announcement suggests he was prescient in his purchase of bullion, and probably got in at the market low. Buyers today can still buy at very reasonable prices but they likely won’t stay down for very long.


| Digg This Article
 -- Published: Monday, 17 August 2015 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2017 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of, its affiliates or advertisers. makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, is strictly prohibited. In no event shall or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.