Europe’s Down Is Gold’s Up
An Interview with Marshall Auerback
By Kevin Michael Grace

Marshall Auerback of Pinetree Capital Ltd TSX:PNP was interviewed May 30.

Q: We keep hearing about a “bottom” in precious-metals equities. Are we at the bottom or near the bottom? Is it visible?

A: I think we’re very, very near it. I actually this Euro bank run and the crisis in Europe is very, very gold bullish. I think don’t think the problems we’ve had over the last few weeks indicate any fundamental problem with in the gold market itself. Whenever gold was pushed back toward $1,530, it’s been met with robust buying. I think there’s a lot of physical demand here. You’ve got an intensifying problem in the Eurozone. I think the deposit run problems have been vastly underestimated by the market, and I think the scale of the response that’s going to required by the ECB is of such magnitude it will be very gold bullish.

Read the rest of this interview on gold and the crisis in Europe.