Posted on 06/01/2006 8:10:31 AM PDT by Grampa Dave
Beautifully done! It's darn rare to find sterling cheap any more.
"When I talk like this, my wife will walk out of the room shaking her head. LOL."
Poor thing, I get a head ache reading your remarks here, thousands of miles from you.:)
I heard that! I believe it about as much as when they say, "I'm from the federal government, and I'm here to help you."
"When I hear these "BUY GOLD NOW!" commercials, I would Run, not walk but Run in the opposite direction."
I agree completely. Also, when I hear the grocery baggers talking about the Dow, it's tell to sell.
My wife figured out that I like to use the latest headlines as an excuse to buy more reloading stuff. And she found that I already have 500 rounds for each firearm at any given time (I reload alot in the winter), so I can't use that excuse anymore :(
I enjoyed reading survivalist writers in the seventies. As unlikely as the worst case scenarios were, the practical recommendations were interesting.
Some of them said to be sure you have lots of ammo, spare parts, and an owners manual for the gun you will be using to protect the food you've stored in your unibomber-style forest enclave.
They also love to pick their datapoints. Talk about gold, and the paper merchants always start blowin steam about 1980. Now we hear talk about the Dow AFTER THE 1929 CRASH...
Can you imagine being the last poor b@stard that bought gold during the Carter administration. You would still be behind the 8 ball.
As soon as the small guy starts to buy, the big guy sells.
Could be that he was reading Barron's last week, too.
There is a credible argument for higher prices, but it's predicated on the continued deterioration of the US$.
If you have faith in the US$ despite massive trade deficits, government deficits, and ballooning household debt levels, it's only natural that you think that gold prices will collapse.
However, if you think that, eventually, deficits matter, suspect that foreigners will tire of keeping their trade balances in US Treasury securities, and observe prices in other commodity markets, recent trends in gold prices don't look all that strange.
Investment wise, not if you have to buy it. Electrical, plumbing, and a/c are taking major hits. Quotes are for 24 hours only.
Helps when people don't have a clew what they have... I heard a story about some gal who bought a lampshade at a garage sale for like 2 bux.
One of the earliest (and most rare) Tiffany works, worth something like 30K.
I bought a book at yard sale last year, it had very unusual pages.
Fifty cents. First edition "Salome" by Oscar Wilde. Not that I'm a big fan of his (even though Salome is a great work) but somebody out there would give an arm and a leg for it...
Can you imagine being the last poor b@stard that bought gold during the Carter administration. You would still be behind the 8 ball.
Gold is a gamble not for the faint of heart. I would NEVER invest in Gold, NEVER.
Yes, I tweak goldbugs.
But one who bought $x of gold each year, even starting at the worst peak, would have yielded 5% return on the money.
I'd have to run the numbers, but you may be correct.
If you think the economy of the next 30 years is going to be like the economy of the past 30 years, you would probably put more into other things. If not, gold and other commodities can be attractive.
We can agree on this.
The same can be said about gold.
The dollar has lost about 7% of its value of the past month.
Measured against gold, the dollar has increased in value in the last month.
When gas was 29 cents you could buy a gallon of it for three dimes. Those same (silver) dimes today still buy a gallon of gas.
Just as useless a story as the one about the suit you could buy for an ounce of gold.
FWIW, the gold stocks ($XAU for example) tend to track gold itself by about 2x, e.g. 1% move in gold corresponds to roughly a 2% move in $XAU.
But today $XAU is down barely a percent although gold is wallowing at $632, down 4.7% from its high of $660 at the surpringly non-random time of exactly one minute before the end of May (GMT).
What was the high for gold in the late 70s?
If Gold drops another 20%, I will buy some ETF funds in Gold with strick stop loss ordera. It will not exceed 5% of our total investments.
If the rats regain power in congress, I will buy as much gold as we can get to match our CD's and money funds. I will own zero $'s of any American stock and very few foriegn stocks or ETFs.
Interesting how a few minutes can make the difference between losses or gains.
What was the high for gold in the late 70s?
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