Gold is trading at record levels as people are conspicuously avoiding putting their money into a market whose “liquidity bubble” could burst any day now.
As a result (duh), people are desperately seeking more gold. Makes sense, right?
Yeah … one small problem.
From the Telegraph UK:
Global gold production is in terminal decline despite record prices and Herculean efforts by mining companies to discover fresh sources of ore in remote spots, according to the world’s top producer Barrick Gold …
Ruh-roh!
By PBR Man November 12, 2009 at 6:42 pm
ummm, that should make the price of gold continue to go up, right?
By Ynot November 12, 2009 at 8:04 pm
read http://www.urbansurvival.com for up to date, easy to understand commentary on Gold, unemployment, general economic conditions in the good ole US ( of A??)
Gold is going to go higher and higher and higher.
By TheOzz November 12, 2009 at 8:51 pm
I think that gold investing is just about the dumbest thing a person could do right now.
1) Over a long term strategy gold is a very poor performer.
2) If the economy does tank to a full depression a pocket full of gold coins ain’t going to mean swat on the street.
3) What ever happened to the simple investment rule of buy low and sell high. Where is the price of gold right now? Why would you buy something at the top of its all time price?
Even if gold does double again before it turns back down, who will be on the radio and tv screaming sell your gold like they are doing right now with the “buy gold” commercials? Maybe gold owners who encourage others to buy gold should be arrested for insider trading.
By 2 cents November 12, 2009 at 9:07 pm
There are more valuable metals than gold.
By Cooter Brown November 13, 2009 at 7:53 am
Mista The
Ozz:
Gold iz naught a investmint. Gold iz monie. Az da dolla declines, th’ price ov gold goes up. Naught becauze it iz mo valuable, but becauze th’ dolla declines. It is gold dat iz stable, naught th’ dolla.
Need proof? Trie dis:
http://www.measuringworth.com/ppowerus/?redirurl=calculators/ppowerus/
Dis cite gots nuthin t’ do wit gold, but it does gots t’ do wit whut monie can buy– itz purchasin’ powa.
Whin ye get dat, ye are on da way t’ recoverin’ frum da dolla delushun, suh! Ye can peer threw th’ lies ov Wall Skreet an’ da news ’bout th’ ekonomie, an’ werk towards findin’ a way t’ protek yerself frum whut will happen whin ye caint trade green papa fer bread…
Yer obedient servant, &c.
C. Brown
By Liberty For Me November 13, 2009 at 8:42 am
Hey OZZ,I dont think we are talking long term strategy here…Everything should show exactly where we are going in the next 5 years….Gold is always worth something..Of coure any hard asset will be the true values.If you own stocks in dollars they very well could be worth nothing…and of course when you are talking gold I think silver and platinum are being included if not more so.