17 replies to this topic

[Tor]

Who needs a gold standard? Is there a Honus Wagner Baseball card standard or a Monet or Van Gogh standard? Gold isn't backing anything right now but it still sells for over $600. Why? Gold dogma is bunk. Gold is the real deal. A true element. A finite substance purchased with infinite paper. How many worthless pieces of paper should a rare precious metal be worth? I would have to say it should take alot more paper than it ever took before and by a multiple many times imaginable.

Fair enough but still doesnt mean its worth $1,000 an ounce does it? It looks pretty and may be a bit rare, but it isnt cunsumed like other hard assets like land, housing, lead, paper even, zinc and silver. Its more like a rare tulip than anything else. Don't get me wrong I am bullish the metal, but maybe not as bullish as you.

Edited by Tor, 02 April 2007 - 12:09 PM.

[cgnx]

$1,000??? I said $8,500 +. The supply of houses is also infinite. Their like Doritos chips, you can always make more. Gold is not. You can fit all the gold ever mined in 1 house.

[Tor]

$1,000??? I said $8,500 +. The supply of houses is also infinite. Their like Doritos chips, you can always make more. Gold is not. You can fit all the gold ever mined in 1 house.

thats been true for 30 years however. ok, maybe agree to differ, but to my mind it is a theme running right now, but i wouldnt want to be holding it forever, maybe famous last words. one thing it does have however is that fact you can buy and sell it circumventing the banking system, so it can be used as a vehicle for money. but $8500 is very optimistic in my view.

Edited by Tor, 02 April 2007 - 02:15 PM.

[Rock]

Gold will go very high. I think we all agree that it's a good investment. The real problem is figuring out how long they can inflate before the system gets away from them. I am shocked at the US debt level's absolute, relative and rate measurements but I am more shocked that there have been no consequences. With all the world banks colluding where is the end of the fiat system that they can imagine?

[AChartist]

I think it's accelerating quite a bit as viewed by the money supply and debt
rising 10% per year.

That really bothers me that you have to ramp up debt 10% per year
to buy 2% GDP. How much worse than that is there?

I know when I borrowed 10K and deposit it in the checking account my income didn't
go up, it went down by the usery rate.

GDP = 2% -10% debt growth rate - 5% inflation, not looking so good.

It's ok if I'm over reacting, no foul, the other's not ok.

So just because a few mortgage companies go bust it's the end of the world. Way dramatic. Remeber back a ways when we had that banking crisis? Some Savings and Loans went bust too. Another end of world scare. It passed just like it will again. I'm not saying it's over. More pain is likely. But get a grip man. Cash in the mattress sounds like an irrational fear to me.

It's been a long time so I cant quote, Larry Tomlinson stated
$37,000 per once on wave measurements. I think I know how he
does it, I've seen him show the method on the SP500.

[cgnx]

Well. the last 30 years the money was treated much better in a few places namely stocks and real estate. Those parties are over. Or at least mostly complete. Meaning valuations of both on the whole have been maximized. In the year 2000 gold was at its most dire. Total disinterest and nonbelief. Just like the stock market was in 1974. Actually in 1974 talk was the stock market might not be able to continue existence. Amazing. Gold was given pretty much the same prognosis in 2000. My claim is that the death of gold is wildly exaggerated. Sentiment is all it needs. To go from 0% investor interest is a very good thing. No sellers are left. Investing is all about putting your money in first. The last guy isnt where you want to be. Warren Buffett and Bill Gates were buyers of silver quite close to the lows. They would not be my best examples of folks with excellent timing skills but Im sure the absolute value of what they were buying made a ton of sense to do. Very few including myself will be able to predict the magnitude of the bull market gold will experience because it is nearly impossible to grasp the amount of liquidity available to bolster price. I have a feeling that this bull will make all others envious.

[Tor]

Well. the last 30 years the money was treated much better in a few places namely stocks and real estate.

Those parties are over. Or at least mostly complete. Meaning valuations of both on the whole have been maximized.

In the year 2000 gold was at its most dire. Total disinterest and nonbelief. Just like the stock market was in 1974. Actually in 1974 talk was the stock market might not be able to continue existence. Amazing. Gold was given pretty much the same prognosis in 2000.

My claim is that the death of gold is wildly exaggerated. Sentiment is all it needs. To go from 0% investor interest is a very good thing. No sellers are left.

Investing is all about putting your money in first. The last guy isnt where you want to be. Warren Buffett and Bill Gates were buyers of silver quite close to the lows. They would not be my best examples of folks with excellent timing skills but Im sure the absolute value of what they were buying made a ton of sense to do.

Very few including myself will be able to predict the magnitude of the bull market gold will experience because it is nearly impossible to grasp the amount of liquidity available to bolster price.

I have a feeling that this bull will make all others envious.

Ugh! What does Gates know about the silver market? He is more like the last, rather than the first, one in IMHO. He knows nothing I would guess. His advisers would have recommended it, being more like the last ones in.

[cgnx]

You have just lost any credibility with me Tor. Gates timing was pretty good with silver. What does Gates know? You must be kidding.