Salient to Investors:
George Soros and Louis Moore Bacon cut their stakes in gold ETPs in Q4 2012. Lone Pine Capital and Scout Capital Mgmt sold their entire stakes in the SPDR Gold Trust, but John Paulson maintained his holding.
UBS reduced its one-month price target by 6.8 percent, saying economic optimism takes the shine off defensive assets including gold.
Hedge funds have cut bets on a gold rally by 56 percent since reaching a 13-month high in October.
Tom Kendall at Credit Suisse said it’s increasingly likely that prices peaked in 2011 and downside risks are building as the world expands.
Over 100 economists expect growth to accelerate in the US and China in the coming quarters.
Paul Dietrich at Foxhall Capital Mgmt said the economy is looking better, and many people have lightened up on gold and are moving to more remunerative assets like equities.
Adrian Day at Adrian Day Asset Mgmt said the economy is showing strength and people would rather invest in economically sensitive commodities and equities.
Read the full article at http://www.bloomberg.com/news/2013-02-14/billionaires-soros-bacon-reduce-gold-holdings-as-prices-slump.html
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