Gartman Is Now Long Gold In Crude Oil Terms

Tyler Durden's picture

Just when you thought bizarro world couldn't get any, er, bizarrer, here comes - who else - Dennis Gartman, who is now long gold.... in crude oil terms.

Further, we shall recommend owning gold in terms of crude oil, buying the former and selling the latter in equal dollar sums. Further, to eliminate the impact fo the Brent/WTI spread from this trade, we’ll do half of the oil trade in WTI and half in Brent.

Uhm, #Ref!

The New idea...

 

as the old faithful has been 'killing it'


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Pladizow's picture

This hack is trading the gold price - he owns no gold!

Manthong's picture

I do that a lot in Excel.

Lost My Shorts's picture

I am short beans and long cheese.  I call it the burrito trade.  The only thing I don't have is a TV show.

DaveyJones's picture

It's popular with the old farts

Manthong's picture

I am short JB Walker and long Mogan David.

The paper price of MD 20/20 will eventually break loose from the suppression scheme.

Bangin7GramRocks's picture

Gartman's beard is full of dried santorum! The thought that this lump of polluted dna is part of the fabled 1% makes me laugh. What a fucked up world we live in! Does he invent, produce or create? No. He opines........

akak's picture

That fat blathering idiot is just ..... a fat blathering idiot.

I am long Dennis Gartman in Krispy Kreme terms.

Dugald's picture

OT just started to open an article about a judge who is not happy with Obama's twisting the constitution and it was taken down....

WTF???

beaker's picture

Even a blind squirrel finds an occasional nut.

akak's picture

I bet it's been quite a long time since Gartman has been able to find HIS nuts, though.

fx's picture

yes, indeed. never is a very long time...

Sudden Debt's picture

and what if they find oil on Mars this year?

Tabarnaque's picture

Then that would save the petrodollars I guess. The rumour goes that they also want US treasuries up there. Yellen just found her exit strategy...

Frozen IcQb's picture

Janet 'Jetson" Yellin... to infinity and beyond

DaveyJones's picture

I think they've printed just enough dollars for a bridge

Seize Mars's picture

Sudden Debt
Easy: Seize Mars!!!

fx's picture

Unlikely to happen. The native aliens who lived there in the past have most likely used it all up. But if they find oil nonetheless, it would likely be very bullish for B!tsh!t

unwashedmass's picture

 

so are we to take this as goldman/JPM/the Fed plan one last washout in gold to completely destroy our country's future viability? 

AL_SWEARENGEN's picture

Translated: Dennis:  "I love to pour creamy crude oil over my hairy body while naked selling short gld futures while masturbating"

NoDebt's picture

... and there goes breakfast.

Murf_DaSurf's picture

 

 

 

...as well as Lunch

MeelionDollerBogus's picture

To pictures of Mr. Yellen.

Thought you could keep dinner?
LOL

The_Peeper's picture

Long gold in bitcoin terms.

LawsofPhysics's picture

Well damn.  Must be a glut of crude or a serious gold slam about to hit the "market".

fijisailor's picture

Relax.  The idiot is buying paper.  You wouldn't expect him to invest in physical would you?

Xibalba's picture

I am long gold in dollar terms

Tabarnaque's picture

What about just simply being long in physical term. Just loaded the truck recently. Thanks for the New Year fire sale!

Xibalba's picture

that's what I'm talking about

asteroids's picture

What kind of advice is that. Do you take a barrels of crude to the coin shop and buy an ounce of gold with it? Maybe you take a tanker to China and exchange it for a barge of gold?

jcaz's picture

Just Dennis trying to obfuscate his shitty ability to trade..... He'll baffle his CNBC crowd a bit longer, and collect the per-diem check that he's been living on for years now....

philosophers bone's picture

I get the sense that he doesn't actually manage any funds, but is simply a talking head.

Temporalist's picture

I didn't see ZH address this:

 

Exclusive: Iran, Russia negotiating big oil-for-goods deal

http://www.reuters.com/article/2014/01/10/us-iran-russia-oil-idUSBREA090...

 

Sources: Iran and Russia closing in on trade agreement

http://america.aljazeera.com/articles/2014/1/10/sources-iran-andrussiacl...

Tabarnaque's picture

And screw the petrodollars. Way to go!

Tyler Durden's picture

Head of public relations department of Oil Ministry Akbar Nematollahi made the remarks in reaction to a report released by some foreign media that Iran is to swap oil for goods based on a deal with Russia.

Reuters news agency has claimed that Iran and Russia are holding talks on reaching such an agreement.

Based on the agreement, Reuters has said, Russia would buy Iranian oil in exchange for Russian equipment and goods.

According to the oil-for-goods deal, Moscow would be able to increase its oil imports from Iran despite the West sanctions on Tehran, reported Reuters.

Source

fijisailor's picture

And maybe the Russians are looking for an arbitrage opportunity with that oil also.

russwinter's picture

Long gold, short oil is a smart trade best played by investing in extremely undervalued miners whose costs will drop and proft margins will expand as energy costs fall. 

LawsofPhysics's picture

"as energy costs fall." -  right, good luck with that.

russwinter's picture

It is already happening, WTI was 100 at year end, now below 92. Gold was 1200 year end, now 1248. Miners are going to surprise this quarter. Energy is a big part of their cost structure. 

LawsofPhysics's picture

Cost in fiat or cost in calories?   Please fiat is irrelevant as they can be "created" of of thin air with the click of a button.

But for the record, I would love to see the miners turn around.  Sounds good to me.

resurger's picture

How about Quarter Gold/Silver trade?! make that 1/4 each so that your bullshit becomes more interesting.

Sufiy's picture


Rick Rule: Money Are coming Into Gold And Silver Now

Rick Rules discusses the recent bear market in Gold and what is going to happen in the beginning of the new bull phase. Money are coming into the resource sector again. It is the very big money, which are circling this sector now. Who are the investors? You can guess - they are mostly from Asia - China and Korea, new type of long term investors. There are a lot of opportunities in the market now - we have learned from our previous experience and the valuations are very appealing now for the right plays.

 

http://sufiy.blogspot.co.uk/2014/01/rick-rule-money-are-coming-into-gold...

fijisailor's picture

Does this mean that big money from Asia will start investing in paper gold?

By the way:  "money is"

atomp's picture

...or "Monies are", or maybe even "Moneys are"

mayhem_korner's picture

 

 

Gold as a trade is a fool's errand.  Talk to me about holding gold as a store of value beyond the horizon of the unsustainable CB intervention.

MountainMan's picture

On that note, put me down long CL at 92.25 Short GC at 1247.00

 

Confundido's picture

Well, if you ask me, Mr. Gartman seems to have not learned the associative rule in addition: (A+B) = A + B. If A and B are the expected price differentials in gold and oil respectively (i.e. A = dp Gold/ dt IN US DOLLARS, whereas B = dp Oil / dt IN US DOLLARS), a long gold position and a short oil position should have merit  on its own. THEREFORE, IF HE POSITS THAT HE IS ONLY WILLING TO BE LONG GOLD IN OIL TERMS, IT SHOULD MEAN THAT HE SEES OIL GOING DOWN, RATHER THAN GOLD GO UP. WHICH MEANS THAT ONE IS BETTER OFF ASSUMING ONLY A SHORT OIL POSITION THAN A LONG GOLD/SHORT OIL POSITION (JUST LIKE WITH THE GOLD/YEN TRADE, WHERE ONE WAS BETTER OFF SIMPLY SHORTING THE YEN, THAN BEING LONG GOLD IN YEN TERMS).

If A<0 and B>0, then (A+B) < B

But of course, Mr. Gartman has the difficult task of pleasing customers that are gold bugs and customers that are banks.

Seize Mars's picture

Confundido
First of all, the all-caps thing us not endearing. Secondly, try learning about the financial idea of "numeraire."
Not sure what you're on about, but maybe try taking a class or something.

ThisIsBob's picture

I'm short of Gartman.

Temporalist's picture

Long Gartman in Quisling Douche terms.