Bill Gross of Pimco pimping the Bond and Stock Markets

Interesting interview below with Bill Gross of Pimco, the world's biggest Bond and Mutual investment fund. I have to agree with Bill the US continued $1 trillion per year deficit will one day result in the US losing its AAA rating.

Of more interest is the exchange between Bill and the CNBC's interviewer re Gold, it feels so staged, like a Dorothy Dix question asked in the Australian Parliament to provide a segway into a prepared response rather than a question seeking insight.

Here is the text of the exchange:

CNBC: With incomes in America not rising as quickly as inflation......why not invest in anything but Gold?

Bill: Well Gold is a very difficult entity to invest in and very volatile, investors need something more stable....

Maybe Bill is not on the internet and hasn't heard of Google, but a quick search with the term "Buy Gold Bullion" returns 2.3 million results. Buying physical gold is as about has hard as buying physical bread and eggs, just go to a bullion shop like ABC Bullion and hand over your cash or swipe your card and walk out with as much gold as you wish. Doesn't sound like a difficult entity to invest in to me.

As to gold being very volatile, say compared to the share market, well I'll let the graph below to retort to Bill.

Yes the DOW has has gone nowhere in the last 5 years and Gold has gone up a "very volatile" 140%, nice call Bill.