"I am sticking with my January recommendations. In the short-term, equity and commodity markets are making a low. They are oversold. The euro zone will come up with new quick fixes later this month and markets will attempt to rally. But I see a cyclical bear market continuing well into 2013.
I would hold lots of cash, preferably in U.S. dollars. While I expected Treasury yields to hit bottom in the fall, I would take some profits and not buy new bonds. Sell the rest in the fall, and use a stop-loss order to protect profits if you bought the 10-year when it was yielding 2.20% in January, as I recommended. Stick with Australian three-year government bond futures. This is a direct bet on China's weakening, and short-term rates could fall further. I also continue to recommend buying gold if it breaks below $1500. That could lead to a quick shakeout into the $1300s, but gold will offer protection in coming years because it is true money." (continue reading at barrons.com)
I remember in a radio interview last year (July 2011), Felix Zulauf said he expected the S&P 500 to bottom at 90% of book value, or roughly 500, by the time the secular bear market ended. He said, "at the last major secular lows in the stock market, we were trading slightly below book value, at maybe 90% of book value." And he was also bullish on gold. It looks like he hasn't deviated from those views. Currently, the S&P 500's price/book ratio is at 2.07 (.SPXPB), which means at today's close of 1,309, 90% of book value is at 569.
h/t Business Insider