Stanley Druckenmiller: Buy gold
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Hedge fund titan Stanley Druckenmiller lambasted Federal Reserve policy at an appearance at the Ira Sohn conference and said that his best advice is to sell stocks and buy gold.
He argued that easy money in the US has allowed companies to thrive despite mismanagement. In China, he said growth is coming only from credit for things Chinese people don't need, like more houses.
Central banks and governments are in a currency devaluation race to the bottom and Druckenmiller thinks gold will be the winner. "It's traded for 5,000 years... some regard it as a metal, we regard it as a currency."
Gold rose to the highest since January 2015 earlier this week and it's down $6 to $1280 today.
The key near-term level to watch is the 2015 high of $1307 along with the 200-week moving average at $1323. That's followed by the July 2014 high of $1349.
His fundamental case makes more sense than ever given that the impetus for 'normalizing' rates seems to have vanished and helicopter money is in vogue.