RICHARD RUSSELL: 'The Scream' Sold For $119 Million And That Tells Us Something Important About Gold

sotheby's the scream auction

Photo: Courtesy of Sotheby’s

Richard Russell, the author of the Dow Theory Letters, has been a big fan of gold as well as other alternative stores of value like art.Recently, Munch’s “The Scream” sold for a record-breaking $119 million.

Perhaps the only person who wasn’t astonished by that pricetag was Richard Russell.

Here’s Russell on King World News:

…’the Scream’, a painting by Munch, sold at auction for a record $119 million.  I doubt if the buyer cares whether that painting will be worth $100 million, $50 million or $200 million 10 years from now.  The buyer knows that he owns a priceless work of art, something that will double in value in case of wild inflation or something that will be worth $60 million during the worst deflation. 

Even if the dollar becomes worthless as a unit of exchange, the Munch painting will still be worth a fortune in whatever unit of money is in favour 10 or 50 years from now.

All of which tells us something about gold.  For over five thousand years, gold has represented purchasing power.  No matter what form of money was in existence at the time, gold possessed purchasing power, which is why many wise men own gold.


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