Cramer is an over-the-top wind bag who I would not trust with a ten foot barge pole (he uses sound effects!) but he is observed and followed by many on Wall Street and his recommendations will lead to increasing speculative and investment demand and his prediction of gold over $1,650 per ounce is conservative.
He does make the interesting point, however, that when the IMF talks about selling gold it is really buying paper currency; “and I don’t want to stock up on paper currency right now.”
It is important to emphasise that gold mining stocks are not gold bulion and are considerably more volatile. They are more speculative, and hence more risky.
