Gold is not a Reflation Trade
With Gold soaring this morning I heard on CNBC that the inflation trade is on fire, that is such a 70’s comment, Gold is a FEAR trade, not a reflation trade.
Our Marketocracy Tracking Funds which we opened in January 11th 2017, have two funds, one based on reflation “Eureka ECT” and one based on no reflation “Eureka EXTH“. Our own money is on the “no reflation fund”. Up to this morning, neither funds performance has broken out from the other.
The “No Reflation” EXTH Fund is long T-Bonds, Long Gold, Short stocks, and short oil, using ETF’s.
The “Reflation” ECT Fund, has the growth based portfolio, i.e. long stocks, short some T-bonds, long some oil, and long a little dollar, all in ETF’s.
No position changes have been made to either Fund since their opening on January 11, 2017.
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