What is Gold?

Gold has been on a remarkable run lately. What is Gold and why is it worth so much more today? Gold is like idiot insurance. When you buy gold you are buying an insurance policy to protect you against the stupidity of idiots who may be interfering in monetary and economic matters. When idiots are in charge, and regularly doing stupid things, gold rises in value. ‘Nuff said.

So what is a stock and why are stocks struggling? Stocks are like genius coattails. When you buy a stock you are hitching a ride on the coattails of the geniuses who innovate and create value from nothing more than their own industry. Unfortunately, the same idiots who are driving up the value of gold are also interfering with the ability of geniuses to innovate and create value. When idiots are in charge, and regularly doing stupid things, stocks will eventually struggle. ‘Nuff said.