PIMCO's Largest "Equity" Holding - Gold

Tyler Durden's picture

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topcallingtroll's picture

Gold still has room to run.

But i still expect a brief risk off over the summer.

If gold rises in a risk off environment that would speak volumes.

cossack55's picture

Be sure to turn your hearing aid on.

ZeroPower's picture

By definition, risk off should imply gold up. Or, at least, silver down and gold hard up. But seeing as those 2 are correlated as with the inverse corr to DXY rise (drop), its hard to say in today's world.

Either way, hard to argue summer overall is a tough season for the PMs. 

GetZeeGold's picture

 

....and just did again.

 

 

Oh regional Indian's picture

ooooh, big gold holder. How will MSM spin this?

I think everything I'm seeing in the last two-three days is pointing to cards finally coming on the table. The truth, which we've been long told we cannot handle. We shall see.

But, as an aside, when they say they are in gold, is that Physical gold or paper?

Huge difference. Curious.

ORI

http://aadivaahan.wordpress.com/2011/05/15/the-times-they-are-a-changinggggg/

cossack55's picture

Good point. I always assume physical as I hope these people are not brainless.

FunkyMonkeyBoy's picture

... so, er, not physical gold then?

augie's picture

unicorns bro, buy unicorns.

Temporalist's picture

"A very good protection to what can go wrong"...what could go wrong?

Oh regional Indian's picture

Hah! nice catch temporalist.

What could go wrong indeed? These are the little signals we need to pay atention to.

ORI

johngaltfla's picture

But according to the bald guys on Fast Money it's just an "archaic" metal which just sits there. And they've been very consistent in saying that since oh, $650 per oz.

I'm just sayin'....

Marty Rothbard's picture

I wonder how long it will be before we see gold bonds, again.  Bonds bought with gold, interest paid in gold, and principal repaid in gold.  Thats what they all were before FDR stole the gold.

Temporalist's picture

Unfortunately if you say Gold Bond to someone in the US they start scratching their ass looking for powder to put on it.

NOTW777's picture

very interesting

Temporalist's picture


Manufacturing in New York Cools as Raw-Material Costs Jump

"The Federal Reserve Bank of New York’s general economic index fell to 11.9 from a one-year high of 21.7 in April. Economists in a Bloomberg News survey projected it would drop to 19.6, according to the median forecast"

http://www.bloomberg.com/news/2011-05-16/manufacturing-in-new-york-cools...

Coast Watcher's picture

oh oh oh is this another "unexpected" drop?

Dejean Splicer's picture

Why no TRF investment in Pathfinder? No hamstrings there, right? I think we know where the TRF target is...

Zing's picture

And there, in a nutshell, you have it. It is clear which metal smart money is moving into.

Mercury's picture

 "The largest position in the fund is gold..."

In a $1.2b equity fund that could easily amount to only a few tens of millions of dollars worth...

CD's picture

3.74% of $1.4B -- fifty-odd million. Still, it's a start, and meant as more of a statement than a market-moving position in the first place. 

Also, the fund held around $730M in fiat of various origins (no USD that I could see) at the end of Q1).

http://investments.pimco.com/ShareholderCommunications/External%20Docume...

Caviar Emptor's picture

I said it yesterday: Smart money in gold. 

Robslob's picture

Sorry Robo...your hopes and dreams of PIMPCO coming in and saving the market are pretty much dashed...

GetZeeGold's picture

 

Might want to look at that again.

 

 

 

Internet Tough Guy's picture

Pimco and central banks buying gold, not silver. Hmm.

Zing's picture

The Silver Liberation Army will now proceed to junk you into oblivion.

onarga74's picture

It's refreshing to see such a depth of analysis..."those guys in China have a lot of gold so we bought some too"...not unlike the hasty removal of Pimco marbles from those QE2 manipulating game changers...plunging into gold at the top and leaving the bond market at the bottom. They should change their name to Dimco.

We were encouraged by the fact that a lot of the central banks, especially in Asia, are big buyers. We think that's an underlying trend that's very favorable for gold."


 

 

 

ivars's picture

Gold will have a bubble very soon, starting almost now and peaking in October (but NOT silver):

 

http://saposjoint.net/Forum/viewtopic.php?f=14&t=2626&st=0&sk=t&sd=a&sta...

 

 

Zing's picture

Considering the higher Silver beta I will take the other side of that bet.

Bay of Pigs's picture

You said silver would be at $32 this week. If it's not, will you quit posting this rear view mirror bullshit?

Josh Randall's picture

By buying Silver I am in effect BUYING GOLD, because that Gold : Silver Ratio will always seek equilibrium, especially when most in the know understand 15 or 10:1 is what an unmanipulated price ratio should be MINIMUM. So go ahead BIG BOYS at PIMPCO - get your Gold-ON

blazen's picture

That's right.

There's roughly only 10 times of Silver more available (stored + to be mined) than total Gold available (stored + to be mined). And part of that will never be recovered from industry. GSR will decrease

Internet Tough Guy's picture

Or you think you are buying something levered against gold, but it's really levered against the paper system...

Iriestx's picture

Their largest position is PAPER gold.  Good luck eating that.

sellstop's picture

Yup. Pacific Investment Metals Company.

gh