I am not going to spend time here talking about how the price of gold is off-the-wall, that it is not just a bubble in the making, but a bubble waiting to burst. I don’t want to waste your time on that point. We all know it is a bubble.
Bookstaber then goes on to talk about the herd/mob mentality and muses on its origins (covering a lot of the same ground that Ritholtz did in his well-written You're a monkey article) checks in on Paulson and Soros along the way and then ends in this style:
The very notion of mobs and herds evokes a certain spontaneity. But with the gold bubble, we are moving on to a concept of herding by appointment. Everyone seems to be happy in agreeing that this is a bubble, and we are all going to participate in this bubble in a rational, genteel way. We have all decided that this is going to be a number one hit, a Top Ten bubble. Though we might want to ask who is leading this herd, because my bet is they will be stepping aside and cheering us over the cliff.
Well worth checking out the full note, linked right here. No matter if you agree or not (I don't), it's good brainfood. We like Bookstaber.