The bubble is about to burst. The outperformance can’t last. The greatest ever! The best is yet to come.
Ok, are we talking about Brett Favre or Gold? Probably both.
Watching all the commentary on Favre’s return reminds me of the industry’s debate surrounding Gold. Despite Gold’s performance in recent years, many feel the commodity is not a proven investment and is just another bubble waiting to burst. Others believe Gold is a safe haven ideal for our uncertain economic times. They believe that should economic numbers continue to disappoint, Gold will reach new highs.
All this debate and doubt sounds very familiar to me after being deluged by coverage of Brett Favre’s return to the Vikings this week. As a lifelong Green Bay Packer fan, my inbox gets filled by friends with Packer and now Brett Favre news. Clearly Favre has had a great run lately, particularly last year when he had his best statistical season ever. In fact, he was one interception away from the Super Bowl and some felt he should have been the NFL MVP. However critics point out that 2010 will be his 20th NFL season (he is now officially a grandfather) and Favre himself says he’s not 100% healthy. Because of this, some believe Favre will be a flop this year for the Vikings. A bad investment. A bubble about to burst. Sound familiar?
In my opinion, Gold and Favre have a lot of upside in the coming year. For Gold, economic and political currents are flowing in a direction that should encourage investors to take another look at this “safe haven.” GLD, the largest Gold ETF, is still off its high this year and has recently been moving upward. On the other side, Favre leads a offense full of weapons and is supported by a staunch defense. This has allowed him to play a smarter, more relaxed game. His leadership in the locker room and on the field seem to be at career highs. Favre is the final and most valuable ingredient for the Vikings to make another playoff run and could become the NFL MVP at the ripe old age of 41 later this year.
The truth is that Favre and Gold have proven a lot of experts wrong throughout the years. They both are unpredictable, bathed in drama and have put up some eye popping numbers. So no matter what’s next for Favre and Gold, I promise you it will likely be full of twists and turns. Tired of the drama? Ignoring both will be hard to do and may mean you miss history being made. Brett Favre and Gold — it seems we can’t live with them and can’t live without them.