SAN FRANCISCO, CA–(Marketwired – October 27, 2015) – Tocqueville Gold Fund Portfolio Manager John Hathaway has studied the past and he sees a bright future for those who have taken the precaution of protecting themselves from the downside of a general bear market by buying resource mining stocks when they are at historic low prices. In this interview with The Gold Report, Hathaway shares the names the fund is holding as ammunition for a better gold market.
Included in this interview with Hathaway is: NOVAGOLD (TSX: NG)(NYSE MKT: NG).
The Gold Report: What is behind the current market prices, and what will it take to move prices higher again?
John Hathaway: Adversity in the financial markets is the trigger that will force the general investment world to become interested in gold again. That is a nice way of saying it will take a bear market to push investors to gold. Monetary policy has forced investors into riskier assets — including junk bonds and overvalued NASDAQ stocks. When the tables turn and people start experiencing losses, there will be finger pointing, starting with the Federal Reserve’s nominal interest rates. That whole spectacle could balloon and cause conventional investors to throw up their hands and run for liquidity.
TGR: Why did you recently compare today’s gold market to the London Gold Pool of the 1960s when eight central banks worked together to try to maintain a gold price of $35 per ounce before the scheme collapsed?
JH: It has been in the interest of public policy and the financial establishment to operate in an environment of zero or nearly zero interest rates, interbank lending rates and LIBOR. That is not unlike the manipulation that occurred in the 1960s. Gold rocketing to new highs would upset that whole scenario designed to…
Continue reading this interview: Tocqueville’s John Hathaway: Stick to Your Guns – Hold on to Those Mining Shares
About Streetwise Reports/The Gold Report
Investors rely on The Gold Report to share investment ideas for the precious, base and critical metals sector. Our exclusive interviews with leading industry experts and analysts provide a clear picture of the causes of macro-economic shifts and the strategies that help you capitalize on developing trends.
NOVAGOLD is a sponsor of Streetwise Reports. John Hathaway had final approval of the content of the interview and is wholly responsible for the validity of the statements. Opinions expressed are the opinions of Mr. Hathaway and not of The Gold Report or its officers. The interview does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility.