I'm hearing some people say "bubble". However, look at housing, 70% of households own one. Look at Gold, I'd imagine that about 2% of households own any
We've got a long long long long way to go. It'll be bumpy, but with the dollar plunging and all heck breaking out, it's the world's safe haven.
I'm in until Time puts it on the cover, or my bartender tells me he's thinking about picking some up. I also picked up (NEW POSITION) 100 shares of SLV today for fun. Sell in May and go away, except oil, silver, gold and foreign funds here.
Finally, anyone wanting real-time gold prices, click on the "Buy gold online - quickly, safely and at low prices " link at the top - it'll take you to bullionvault, where you can do live charts too. I got a free gram ($25) for signing up. I haven't bought any through them yet, but am considering it, as I'd like physical gold, vs. just the GLD etf. Any other recommendations?
Gold futures climbed above $700 an ounce Tuesday for the first time since October of 1980 after hopes for resolution over Iran's nuclear program faded and the U.S. dollar weakened, prompting investors to seek refuge among the precious metals
"Gold ... thrives on uncertainty," said Jon Nadler, an investment products analyst at bullion dealers Kitco.com.
"As most people have dollar denominated assets, the quest for portfolio preservation is becoming a priority and chasing profits for the sake of pure return is taking a back seat until the skies clear," said Nadler.
"If the U.S. was to leads a military attack on Iran then we would enter doomsday territory, and the markets would put renewed faith in gold's alternative asset status," Parry said.
"Under such a scenario we would not be at all surprised in gold prices tested quadruple figures," he said.
May 09, 2006
Gold futures top $700 for first time in almost 26 years
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21 comments:
you got that one right.. prediction for the peak?
No way 10 oz of gold buys a goodhouse. Maybe a .44 and 500 rounds, or a 8000 gallon tanker of gas, or a semi truck loaded with non-perishable food. A share in a food producing farm with a supply of water... Gold is just money. Doesn't taste very good.
foobeca - what's your investment philosophy - what are you in? cash? gold? guns? butter? stocks?
Do I hear $1 trillion per ounce? How about $1 quadrillion? Heck, why not just make it $1 centillion?
Bubble?
The dollar and all fiat money is the bubble. That bubble is imploding. Gold going up is a side effect.
Taking a bullion dealers' advice on Gold is akin to asking David Lereah about the state of the housing market.
Go with an unbiased source.
You can't make money buying high and selling low. Gold is no more than $100 an oz away from its high. I don’t know that we will ever see gold at $250 an oz like we did in the late 90s but to be sure, we will see gold hit $400 an oz before we see it hit $1000...
It is clear to all of us that the economy is in for a rough ride ahead and the US will loose much of its luster as the only economic superpower as Europe and Asia start to emerge.
However, I have faith in the US stock market because the worlds best business minds and capitalists are here working for US companies.
An emerging China and India means more blocks to put a Starbucks on, more copies of Microsoft Office to sell, it certainly does not mean that [name your favorite Indian retailer] will be opening up in a mall near you.
The USA has the worlds shrewdest business minds and I am sure US corporations will be able to exploit any global environment to their benefit.
Keith wants to put his money into Euros, ok for him, but I have a feeling as long as there is a global free market, US companies will always be on top.
China and India emerging will open up incredible new markets for US companies, a strong Chinese Yuan will make their products less competitive, a week dollar will be a boon to the US economy.
I couldn’t tell you who wrote up the US Constitution, but I can tell you the companies that have been milking us Americans for all these years will milk the hell out of the emerging market. I almost feel sorry for them. If you want your money to work for you, buy and hold in the US stock market.
Gold is just yellow metal that they dig out of the ground. If the price of gold goes up they will just dig out more. Most of the gold that has been produced since the Earth's inception has been dug out recently. Forget gold! Gold is like money that cant be invested and must sit idle. The only reason it is moving is because it is currently "in play."
Imagine a Starbucks on every block in India, Imagine a Dell computer in every home in China, imagine, imagine American Girl dolls, Trek bikes, Hershey bars, Best Western Inns! You want to invest in the emerging market, get some shares in US companies, because after China emerges, the industry will move on to the next "emerging country" and all that will be left in China will be 1,000,000,000 middle class people hungry for KFC and looking to get their hands on the latest Britney Spears album.
There won't be a global free market.
All those dreams of US profits made in emerging markets are just that.
In China, the local brands very quickly copy and undercut the foreign ones, with the active approval of the authorities.
Authorities enforce legal action against foreign companies, and do nothing to locals when they rip off the foreigners.
The only people getting rich off Chinese are ones shipping physical goods and commodities *manufactured, drilled or mined outside China*.
All cooperative agreements are like cooperative agreements with Microsoft: hand over your technology, and we'll make money from it, and you'll get the shaft.
US companies routinely give away prized business secrets to get through the Chinese authorities---secrets they would never give to a US competitor.
And sure enough, very quickly a Chinese competitor has all of that ability---with top managers and engineers just having worked there.
How did Silicon Valley do so well even when companies went bankrupt all the time? Because the smart people quit and started a new company the next road down using all their high-tech skills and knowledge.
Same will happen in China and the US is giving them the ability.
Question for HP readers - When did Keith become bullish on gold?
A. Last week: He latches on to whatever stock Jim Cramer tells him to buy short term
B. Less than 3 months: He latches on to whatever stock Jim Cramer tells him to buy long term
C. 3 - 6 months: He throws casts to the wind and sees if he catches anything
D. 6 - 12 months: He has a reasonable sense of trends and outcomes in the world of investing
E. A year or longer: He can truly pick investments and is qualified to give advice to others
I know the answer, but am interested to know what others think.
is that you Keith? I pick E....
I'm making a killing in GLD! And loving it.
for those of you who just started noticing the gold rally, here's an interesting fact:
this rally really got going the exact day Bush nominated Bernanke to head the Fed
a coincidence? I think not....
HP first mentioned gold in December sport
http://tinyurl.com/jqdma
and he's been pumping it hard for awhile
sore loser?
TED BUTLER COMMENTARY on Buffet and his silver.
http://tinyurl.com/rbuyl
Tom
http://tinyurl.com/jqdma
Keith mentioned gold back in Dec, but couldn't decide whether it was a bubble or an investment.....
When did he first say "BUY GOLD"?
He has been buying gold all month
to "thinker",
hi "thinker", you're the ones who are products of the brainwashing financail media and typical u.s. public education institutions. i don't dispute your "thinkings". however, i will just take the other side of trade. in the end, you will know the results.
Today was a great day in the market. I sold some shares ... and I'll wait for a gloomy day to buy them back.
The price of gold will drop tomorrow when Ben increases interest rates. 41cadillac
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