NovaGold (NG)

[Tommy]

China And Gold: A Puzzling Anomaly

http://seekingalpha.com/article/788071-china-and-gold-a-puzzling-anomaly

... "The biggest bull market of our time, we believe, will probably be in junior golds. For these the Market Vectors Junior Gold Miners ETF (GDXJ) is representative.

We would also bet heavily - but again, with a long-term time horizon - on NovaGold Resources (NG), which, despite having one of the largest untapped gold deposits in the world (and a high-grade one, at that), has been pounded because of the costs of developing the necessary infrastructure.

But one consequence of resource scarcity in its relationship to gold, which has been proved since the beginning of this century when resource scarcity became apparent, is that gold must outperform other critical commodities; otherwise it would not be able to perform its irreplaceable function as a medium for resource rationing.

We believe the Chinese see this, and that it's only a matter of time before others follow suit.

Thus we regard many-fold gains in GDXJ and a 10-bagger in NovaGold as reasonable and well-measured long-term targets for investors." ...