Jim Rogers : It is harder to value the Price of Gold – rather than wheat for instance

FM: But you have to admit that gold isn’t easily valued as other commodities are. After all inventories of gold and the stock-flow ratio are very different from soybeans, rice or oil. The amount of gold that is mined or produced or recycled each year is very small compared to the stock of gold sitting in bank vaults and central bank vaults. So it’s hard to value gold using supply and demand, or at least annual supply and demand like with other commodities.

Jim Rogers : If you mean annual supply and demand by the amount mined and the amount consumed, yes. The amount mined and consumed is very low compared to the overall inventory of gold. All the gold ever mined is still somewhere and that is going to continue for the foreseeable future. From that point of view I guess it is harder to value – to figure out the price of gold – rather than wheat for instance. - in goldmoney




Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.