Reinterpreting Gold's Price Behaviour - Daniel Brebner, Deutsche Bank
Wednesday, October 31, 2012
Gold has no use according to many. But then gold is not really a commodity at all. While it is included in the commodities basket it is in fact a medium of exchange and one that is officially recognised (if not publicly used as such). In this article Daniel explains that he would go further, and argue that gold in fact could be characterised as ‘good’ money as opposed to ‘bad’ money which would be represented by many of today’s fiat currencies. In describing gold as such he refers to Gresham’s Law – when a government overvalues one type of money and undervalues another, the undervalued money (good) will leave the country or disappear from circulation into hoards, while the overvalued money (bad) will flood into circulation.
Daniel Brebner, Head of Metals Research at Deutsche Bank
Daniel's focus however also includes bulk materials such as iron ore and coal. Prior to joining Deutsche Bank, Daniel spent 10 years as an analyst at UBS where he held various positions, the most recent as co-head of Commodities Research. He was a geologist with Buenaventura Ingenieros in Lima Peru before working in the banking industry. Daniel has an honours BSc in Geology (University of Toronto) and an MSc in Mineral Exploration (Queen’s University). He is also a CFA charterholder