[blam]

" The next time round most governments will not be in a position to do so – again. Even more troubling, the IMF (International Monetary Fund) will not be capable of rescuing the increasing number of insolvent governments and their financial institutions. "

Goldman: A Slowdown Now Would Be Deadly, Given That Governments Are Out Of Ammo

[Titus Quinctius Cincinnatus]

The gold bugs are a-bitin’?

[Redhd2]

Wonder if any of that black gold washing up on the Gulf Coast can be harvested/mined?

[William of Barsoom]

...and you think they’re not going to take steps to prevent this from happening? Soaring gold prices are an impeachment of the credibility of a currancy. Soaring gold says loudly the paper money is an unbacked hoax.

This administration, above all others, has the gall and hypersensitive reactions to re-confiscate gold.

Watch it happen.

[historyrepeatz]

If gold hits 10k/oz. by 2013 I’ll eat my shorts. My Email address is: _____________________ LOL.

[Kirkwood]

$10,000? Talk about picking a number out of thin air.

[TopQuark]

"1. History is No Guide"

Or, "This time it's different, baby."

That's the line of every scoundrel. And he uses it at the top.

[Brilliant]

When I read this kind of stuff, I ask “How much gold does the author own?”

The author is trying to talk up the price of gold. There has been a lot of talk lately, and the price is now at roughly $1200. Hard to see how they can improve on the fear that we have now. In the US, we obviously don’t have the inflation which would justify the high prices that are prevailing. The only things that might lead to a higher price in my mind are 1) US inflation, and 2) foreign inflation. There is little evidence of US inflation at this point, but the gold market is a world market, and inflation certainly is possible in some of the other countries of the world. Even so, at this point, there is not much evidence of it.

I don’t imagine there is much risk in owning a small portion of your portfolio in gold, but I would certainly not want to bet the farm, as some have done or advised others to do.

I am also suspicious that at some point, it will become apparent that some of the gold suppliers are just as fraudulent as Madoff. It is easy for the criminal element to sell fake gold, as demonstrated by the discovery of gold plated tungsten bars of late. Some of these outlets don’t actually deliver the gold. They claim they are holding it for you, but who knows? Some of them are simply selling you paper that represents gold. Maybe they own gold to back their obligations, maybe they don’t. If not, then how do you know they will make good on their paper obligations? And if you do take delivery, then you have the risk not only of fake gold, but also the storage and theft risks. Another factor not often appreciated is that the fees for selling gold can be substantial—much more than the fees for purchasing it.

[traumer]

Why not..... $20,000 ?

[Gorzaloon]

I don't know what to think about this. Anything is only worth what someone will pay. Who would buy at such a high? Then he goes on to explain that the gold paper (As many have suspected) is just a scam or bubble backed up by empty vaults.

What's his position? How much did he get stuck with today at $1,227? Well, somebody has to ask....

[Larry Lucido]

I predict it will be at $20 trillion by next year. Go get ya some now!

[preacher]

These arguments against gold were the same arguments given when gold was $35/oz.

[mamelukesabre]

If gold is in such short supply and set to climb so fast, then I would expect gold substitutes to climb in value also:

silver
platinum
paladium and the other platinum group metals
diamond and other gemstones that have industrial uses.
industrial semi precious metals such as copper, nickle, zinc, etc

The fact that the above havn’t been climbing in value nearly as fast as gold is suspicious to me.

We can look at it another way and instead of making a list of things that should climb in price like gold, make a list of things that will decline in value relative to gold.

fiat currency
textiles
construction materials/lumber/paper
labor
fuel/energy
food/ag products
petroleum based products
pharmaceuticals

I think I listed the above in descending order based on how fast the value will drop compared to gold.

machinery and electronics should go up in value since they contain metals and are created by machines that themselves contain metals. The new age of batteries should accelerate this surge since high tech batteries contain rare metals. when combined with a declining value of currency, the prices of machinery/electronics(priced in dollars) should be runaway insane, right?

But I don’t see any surge in machinery/electronics prices. So what is going on? Where is my thinking flawed?

[Porterville]

retarded oracle?

[valkyry1]

The one time I dont have any money at all to be in the markets.

[jiggyboy]

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