With oil surging to $108, and the Dow Jones hitting all-time highs, today one of the savviest individuals in the business spoke with King World News about gold and the most remarkable thing he’s seen in 50 years. Jeffrey Saut, who is Chief Investment Strategist for $360 billion Raymond James, also discussed stocks hitting all-time highs, the panicked shorts, and included a truly fascinating gold chart along with his comments.
Saut: “Today is day 137 of the longest buying stampede I have seen in my entire 50-year career, and possibly in history. The previous record I have in my 50 years of notes ended at 53 trading sessions.
We have not had four consecutive down days for the Dow so far this year. But I think we are nearing an intermediate-term top….
“For the past two and a half months I have targeted tomorrow, July 19th, as the intermediate-top on both my quantitative timing and technical models. So I think tomorrow is the potential turning point for the first meaningful decline of the year. I have been raising cash for the past few weeks and I think this correction in the stock market will be roughly 10% to 12%.
It’s just a question of, is this thing going to end with a whimper, or is it going to end with a bang? The shorts have been absolutely destroyed here. We could see a blue-heat move that carries the S&P 500 somewhere between 1,700 and 1,730. That would be the ideal pattern, but they don’t operate the market for my benefit so you have to take what they give you.