Jim Rickards – When Things Turn Around, “You’re Going To Find There’s No Gold Available.”

Fed Chairman Ben Bernanke announced Wednesday that the Federal Reserve would begin tapering its $85 billion monthly bond-buying program in January.
The $10 billion dollar monthly cut to the Fed’s purchases of Treasuries and mortgage-backed securities comes amid a series of positive economic indicators including a falling unemployment rate, higher GDP and improving housing numbers.

Related: Forget the Fed, Interest Rates Are Heading Lower, Shilling Says

Bernanke stated that he expected further tapering at future meetings and hinted that interest rates would not rise before 2015.
Markets reacted to the news by jumping to record highs, which may seem counterintuitive to some.
“We didn’t get a pure tapering, we got two messages: one is they’re going to begin tapering in modest amounts and the other was that they’ve made it very clear that they’re not going to raise interest rates for a very long time,” says Jim Rickards, senior managing partner at Tangent Capital. “What the Fed is saying is ‘Don’t worry we’ve got your back, you can borrow money for as long as you want,’ and that’s what the stock market wanted.”
http://finance.yahoo.com/blogs/daily-ticker/fed-to-wall-street–don-t-worry–we-ve-got-your-back-151902965.html