neither has gold
apart from the previously mentioned useability in saving surfaces from corrosion which will be extremely useful in building nice shiny benches to sit on when shit actually hits the fan and were living in the woods
neither has gold
apart from the previously mentioned useability in saving surfaces from corrosion which will be extremely useful in building nice shiny benches to sit on when shit actually hits the fan and were living in the woods
If I was living in the woods I'd rather have a gold coin in my pocket than a piece of paper.
I'd rather have a firearm.
Anyways, if you didn't see this morning's drop comming you might have been living in the woods for the past weekend
Well with my gold I've just hired an wood armed security team 
... and thus society is reborn
... and thus society is rebornScrew a security team. I'll be hunting me food for breakfast, lunch and dinner. Get some cows and chickens too. I like my eggs with milk in the morning.
Intrepid it's gold and real estate. Rental properties are the best, people always like to live in houses.
I'm pretty sure alot of people would care if America said "**** everyone I'm going home"
And just a heads up, I don't hate America. I'm pretty sure nobody does, It's the arrogant people inside it that seem to fudge everything up.
A few would be happy... actually at first, alot of people might be happy, but slowly I think they'd start to complain.
I'd lke to see us try that until the budget gets closer to even, but.. that's not going to happen, and we really shouldn't do it anyways.Gold only has value if someone is willing to buy it. And unless you actually have your "gold" in your house and not shored up in a vault you'll never get to, your gold only brings you wealth if you can sell it to acquire paper money. You are actually penniless until you sell your gold, so how are you better off? If society actually hits the fan you'll never get your gold so end up just as penniless as people who invested in hard cash.
Only having objects you can trade with brings wealth, so when the world goes to shit, I can gain food by promising not to shoot the person with food in the face (living in the country, I pack heat). How is your piece of paper saying you have gold locked away in a vault on the other side of the world going to help you get food?
you're assuming that if the economy goes to hyperinflation absolutely no one will have any wealth, which is not the case. The people with wealth in land and resources including gold will be the only ones able to start investing again (not as in stock markets but as in hiring people to do a job)
You're very critical of Intrepid, but what would you use to trade with if the global economy were to collapse? Would you just say **** it and go Mad Max? I think not.
You're very critical of Intrepid, but what would you use to trade with if the global economy were to collapse? Would you just say **** it and go Mad Max? I think not.
I'm critical of people who invest in assets they do not have in their physical possession, but only have a sheet of paper saying it is theirs (no different to having possession of the IOU that is paper money), and those who assume gold will always have value. The value of gold is irrelevant because it is paper money that sets the value. What people are willing to trade for an ounce of gold will plummet the second the currency it is valued against becomes worthless.
Buy real gold, yes, no objections to that. Promises of gold (the first paper money), or investing in gold funds is pointless. BUY REAL.
btw watch this http://www.youtube.com/watch?v=7ubJp6rmUYM
When governments deface a currency in search of political gain people always turn towards the most historical form of currency - gold. Happened in Weimer, Zimbabwe etc...
Though you would want to hope that it doesn't go that far. But gold is vastly more trustworthy than a fiat currency which can be created with a click of a bankers button.
No the OPPOSITE happens. I don't think you've actually tracked the value of the dollar over the last few years. As it's FALLEN gold has sky rocketed. As the saying goes gold IS money. duuhhhh Kids really need to learn their history. What do they teach in schools these days?
If they taught basic economics we might not have gone on this fiat currency, made out of thin air, led crisis.
Yikes, assuming 1troy ounce of gold is 1,700USD and I can remember how to do currency/weight conversions, that chap just paid $5.10 for a loaf of bread.
But then Zimbabwe wouldn't be like that if it wasn't for the British Devils. Although if Mugabe sold his solid gold glasses, he could probably buy a Veyron SS.
Zimbabwe is an extreme example of course. That's what happens when a government just continually prints money. But gold's value can be measured against anything, not just fiat currency. Some value it against the Dow or the FTSE. Some value it by how much gold could buy a house.
Yes, it's an investment, just like your investment in British Sterling is. There are risks, but it's a lot safer bet than a fiat currency right now.
Yes, it's an investment, just like your investment in British Sterling is. There are risks, but it's a lot safer bet than a fiat currency right now.
I wonder where this "People who want to own gold are paranoid right-wingers" message is originating from.
I think gold's value is much the same as currency value in this day and age but in a more dangerous way as it acts as a leveraged position against the strength of certain economies in comparison to less strong economies. If we had a worldwide economic meltdown gold would devalue some what as on the whole people would be selling more than buying to survive, also countries that have large reserves of gold may sell causing further downward pressure on gold at that time. Gold is not immune to a dramatic drop in value by any means.
I remember not too long ago when gold was US$180/ounce all the commentators at that time declared gold broken forever and that it would never recover again! It was at that time it turned around and has grown steadily in value since.
Once all the commentators and public are saying gold is the best investment I'd advise you to sell pretty quick if history is anything to go by
I remember not too long ago when gold was US$180/ounce all the commentators at that time declared gold broken forever and that it would never recover again! It was at that time it turned around and has grown steadily in value since.
Once all the commentators and public are saying gold is the best investment I'd advise you to sell pretty quick if history is anything to go by
If you sold everything and bought a giant brick of gold I would call you a silly person. Gold should be part of a diverse portfolio also containing real estate and stocks/bonds.
(Land>Gold>Cash)<< IMO I'm not an economist but that's the order I'd put that in. If you don't own land, gold/jewelry, or cash/stocks and the economy goes into hyperinflation then...I dunno good luck I guess. Don't come my way I'm armed. Guns and ammunition are also part of a anarchy-proof portfolio.
(Land>Gold>Cash)<< IMO I'm not an economist but that's the order I'd put that in. If you don't own land, gold/jewelry, or cash/stocks and the economy goes into hyperinflation then...I dunno good luck I guess. Don't come my way I'm armed. Guns and ammunition are also part of a anarchy-proof portfolio.
Well, we're still quite a way from it's historic high of $2500 (adjusted for inflation) so we've got a fair way to go before we're in bubble territory. There were a fair few investors saying gold was the best investment a few years ago. I bought then when it was around $700 an ounce. It's now $1750
When it gets to 2500 I'll start thinking harder what, in the 70's?
http://goldprice.org/30-year-gold-price-history.html
my coworker bought two bars at $1000, and he even suggested i buy one, but i didn't have the money at the time. even though i'm doing better financially than i have in previous years, i still wish i had the money to buy in when it was cheap. kindof kicking myself, but that's what happens when you make bad decisions with your money.
I wouldn't recommend investing more than 20-30% of your savings into gold because it is a risk, like anything. You have to diversify. So don't feel too bad. I took a big risk, and it paid off, but that's because I'm stupid
Your not stupid at all the smart money is always invested money, the real smart money though is not following the crowd...
Investing when you did was a good move as gold was in an upward trend with a strong likely hood of continued trend, if you had invest 40% of your funds at that point the risk reward ratio would have been well in your favour and I wouldn't have called it stupid. The smart money though would have likely invested bucket loads in the early part of the trend and now be slowly selling portions as it rises and investing in other areas that are considered brocken currently but have strong fundamentals.
I remember when a local Australian personality went public and bought 50 million as a position in the Asutralian dollar at the time it was trading at about 49c US, every one thought he was a bit loopy as there wasn't any clear signs (technical analysis) at the time indicating it wouldn't fall further. He wasn't looking at the technicals though and invested believing the fundamentals indicated a turn around. It did and now is trading above $1.00 US. I'd bet my bottom dollar though that he has sold out of that position at a handsome profit and has it invest somewhere else now, even though the A$ still looks strong.
flymike and you obviously have your heads screwed on with diversment etc, the real trick to good investment returns long term though is knowing when to alter your allocations in the different areas (property/cash/comodities/stocks)
Your right gold might continue to rise for years to come, thats not the question that needs answering though, the real question is what investment at this point in time give me the best risk vs reward ratio the answer to that is rarely obvious
Woops got my facts mixed up a bit, was going of my foggy memory
I must have it confused with futures or a warrant I was trading at the time, been a while since I have traded. The principles still apply though
I was referring to the period around 2001
Some interesting reading on gold as an investment in relation to inflation here http://caps.fool.com/Blogs/historical-gold-prices-and/536575
Again I'm not saying gold hasn't been a good investment or will not continue to be, I'm just saying don't buy it just because it is going up and everyone else is buying it
Donald Trumph has said about property "It's not what you sell it for that counts, it's what you buy it for" but can equaly aply to all asset areas.
Gold has hit $1865! Got to have a correction soon, but amazing prices.
Exciting isn't it I've ridden a few trends like that in the past myself. The trend has certainly steepened in the last few months.
Interestingly we are seeing a surge of investors entering the housing market again here and haven't seen that in quite some time so money is definitely on the move at the moment. There is always money to be made and lost in turbulent times!
Like you I have to wonder if this is one last rush in the gold price before a correction back down to the 1600-1700 level as a minimum. If it drops below 1580 I'd say it would be over, if it stays above 1580 after a correction then most likely see another rally (imo with a 5 sec look at yearly chart ).
When you see a trend that strong though one thing I know is that it will be driven by greed and will eventually be turned around by fear.
So Intrepid do you have an exit strategy? Or are you just going for the roller coaster experience I confess I've done both in the past
I've ridden a few trends like that in the past myself. The trend has certainly steepened in the last few months. Interestingly we are seeing a surge of investors entering the housing market again here and haven't seen that in quite some time so money is definitely on the move at the moment. There is always money to be made and lost in turbulent times!
Like you I have to wonder if this is one last rush in the gold price before a correction back down to the 1600-1700 level as a minimum. If it drops below 1580 I'd say it would be over, if it stays above 1580 after a correction then most likely see another rally (imo with a 5 sec look at yearly chart
).When you see a trend that strong though one thing I know is that it will be driven by greed and will eventually be turned around by fear.
So Intrepid do you have an exit strategy? Or are you just going for the roller coaster experience
I confess I've done both in the past
Dow dips over 1,000 points (August 4-8, 2011)
(76 posts, started )
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