The Gartman Letter: Friday Gold Update
Dennis Gartman has been directly involved in the capital markets since 1974 and has been publishing his daily commentary, The Gartman Letter, since 1987. The following is an excerpt from today’s The Gartman Letter.
Firstly we’ll note that today is Friday and Fridays in recent months have been particularly unfriendly to gold. Gold’s performance yesterday was again horrifying to those who are bullish of gold in US dollar terms, with spot gold trading down to $1215/oz. before finding some support as short covered…profitably. We remain long of gold in Yen terms and that is the only way we shall buy gold at this time, happier to note that we are joined in this trade by Mr. Kyle Bass of Hayman Capital Management who has gone out of his way to say that Gold/Yen is the trade he will most strongly support going into ’14. We’ve made our case for months regarding gold in Yen terms and we needn’t go into it here this morning save for noting that the Bank of Japan has no choice but to continue to err “dovishly” and to do what it can to force the Yen/dollar rate to 125 and beyond.