Gold hits record high on debt fears and chance of more Fed stimulus

Worried investors chill out with gold

Gold Usurps Dollar As Safe Haven for Worried Investors

When the dollar is shaky people put their money into gold.

I gave you a history lesson. Then I provided further proof.

This is what you sound like on a daily basis little Landru.

 

Dear me, now you've replaced mind-reading with dyslexia. Which one is your problem exactly?

Your links merely indicate buys and sells, not why the buyers and sellers are engaging in those transaction.

So again, your claim is unsupported. But I'll give you ANOTHER chance to redeem your foolishness.

Tell us again how you know -- besides mindreading -- what investors in the world are worried about, and in particular this claim:

Give us the study that supports your mindreading ability.

You can't, can you? Give up.

 

Investment isn't just about exchanges, it's also about trends and opinions.

Public opinions of things reflect why they make the choices they do. Since your argument lacks the ability to compendium that fact, you lose.

I've provided you with a history lesson in US currency and more than enough evidence of what I'm talking about.

It's sad that you don't have the reasoning skills to work it out.

 

Gold set a new record high this morning; silver is up almost 1% so far today (over 18% for July so far).

The U.S. economy grew only 1.3% in spring:

http://www.theglobeandmail.com/repo...my-grew-only-13-in-the-spring/article2113985/


Canada just announced it's economy is contracting:

http://www.theglobeandmail.com/repo...anadas-economy-shrinks-in-may/article2113969/

 

Marc Faber : 'Well, ...... in the course of my life, I think that if I followed what the Jews are doing, you’re usually on the side of the winners in terms of money. They’re very smart at making money. And I have numerous Jewish friends that have either like eighty or a hundred percent of their money in gold, silver, or gold/silver mines and so forth. And I have other Jewish friends that have between thirty and fifty percent of their money in gold and silver. So I personally have less. I have like now maybe twenty percent of my money in gold and silver and in mining stock. But on any meaningful decline, say if gold, and we can’t rule that out and I’m saying that in every newsletter I write -- a correction can occur that is meaningful. Like gold started its bull market in 1971. And it reached a peak in ’74 of a hundred ninety seven dollars an ounce. And then between December ’74 and August ’76, at the time the Dow Jones went up very strongly because Dow Jones bottomed out in the bear market of ’73, ’74, in December ’74. But during that time of stocks going up, ’74 to ’76, gold went down by more than forty percent -- from hundred ninety seven dollars an ounce to hundred four dollars an ounce. There’s a big, big correction. But then gold went up eight times. And I’m saying, you know, you buy gold today -- I don’t know, maybe it goes down a hundred dollars. Maybe it goes down two hundred dollars. But looking at all the factors we discussed, I don’t believe that we are in a bubble stage. Because I lived through the last bubble in the late seventies. I can tell you, the whole world followed the gold market day and night and traded gold twenty four hours a day like the whole world traded NASDAQ stock twenty four hours a day in ’99 and 2000. That hasn’t happened yet. We don’t have a heavy waiting. We don’t have a heavy kind of euphoria about gold at all. I know so many people, they bought gold, they paid three, four hundred dollars. Where was that thousand, they sold it? They sold it at twelve hundred. And that price has never really corrected, it never goes back. It never goes back. They’re sitting there empty. All I can say, the risk today as an investor is not to own gold, but it’s not to own any gold. If you have no gold at all, I think you’re taking a risk. And my advice is simply every month you put some money aside and you buy a little bit of gold. Depending if you’re very rich, you buy every month a ton. If you’re very poor, you buy every month an ounce or whatever it is, or a gram. But every month, you accumulate. You don’t worry about the price. Look to it and you just buy every month a little bit. And your grandchildren will be very happy about that unless the US government takes it away. That is a possibility with Mr. Bernanke. You just look at him. He’s basically not a particularly honest character...'

http://marcfaberchannel.blogspot.co...ampaign=Feed:+MarcFaberBlog+(Marc+Faber+Blog)


And this guy, unlike most economists (including Bernanke, Greenspan, Geither, Paulson) predicted the housing bust.

 

I remember the late 1970s too. Everyone was saying gold was the place to be. A lot of people got stuck in the early 80s when the price dropped by more than 1/2.

The price of gold still isn't as high as it was in 1980, adjusted for inflation. so it could still appreciate quite a bit.

OTOH, there is an old maxim that you should buy low and sell high, and fools buy high and sell low. Gold may very well go up more, but the chance to buy low was several years ago.

 

Gold had a twenty year period where it fell or was flat.

DA60 wants everybody do forget that.

What is it with the mystique of gold and these people? Weirdly Loughner was a gold bug too. And I believe Breivik weighed in on that in his "manifesto".

 

I want no such thing. I want people to study stats - not ignore them.


And don't speak for me.

 

'Low' and 'high' are relative terms.

When gold was $800 in '07 - I guarantee you TONS of people thought that was extremely high.
Today, that would be considered low (though not 'the low').

And it's the return that matters (imo) - not whether you got the 'low' are not (which are almost impossible to hit, imo).

And over the last year, gold has returned almost 40%, silver over 200%. While the DOW has returned about 15%.

http://www.goldprice.org/gold-price-history.html

http://silverprice.org/silver-price-history.html

http://www.theglobeandmail.com/globe-investor/markets/indexes/chart/?q=djia-I


I don't think too many people will feel bad if they missed the 'low' if they are getting 40+% returns - let alone 200% over the next year or two.

 

The statistics show that gold has long periods (I mean long) of nonappreciation, with booms and bust afterwards

So why are you so fixated on gold.

 

I have already answered numerous times in this thread already why I think gold/silver are presently good investments.

And as I posted in a reply to one of your posts:


According to this short video - ETF's and many of the world's central banks have already bought more gold this year then during all of last year:

http://www.theglobeandmail.com/glob...ideo/whos-buying-all-the-gold/article2097257/

 

I you bought on the "low" in 1980, since then, gold has returned about 100% and the Dow 1350%.

 

Uhh...okay.

Anyone that buys gold/silver as a major, long term investment does not know what they are doing (imo).

 

Study?

I'll give you proof that the dollar is dropping significantly in value:



http://www.bloomberg.com/apps/quote?ticker=DXY:IND


'The greenback dropped to a record low against the Swiss franc, a 2-day low versus the euro, a new multi-week low against the pound and a fresh multi-month low versus the yen.

The U.S. economy grew at a slower rate than expected in the second quarter of 2011, with estimates of first quarter growth also revised down sharply, according to figures released by the Commerce Department.

U.S. gross domestic product grew at a 1.3 percent annual rate for the second quarter of 2011. Most economists had predicted a somewhat more robust, 1.9 percent growth in GDP, and the figures released Friday will likely do little to calm concerns about a slowing economic recovery.

Revised figures for the first quarter of 2011 show much slower growth than initially estimated, with the GDP rising just 0.4 percent. The revision, according to the Commerce Department, is a reflection of slower inventory investment and higher rates of imports.'

http://www.rttnews.com/Content/CurrencyMarket.aspx?Node=b3&Id=1678492


And with the economy failing, unemployment rising, the housing market dead, government debt virtually out-of-control and the Fed obviously prepared to spend whatever it takes - what possible reason would people believe that the dollar will turn around any remote time soon (other then for short term flights to the greenback if another world crisis happens).

 

Psssst: the issue is not whether the dollar is going up or down, it's Baggers' purported claim to read minds and tell us why.

So again, thanks for admitting that you have zero evidence for investors views toward the dollars, just your wild speculation.

By the way, how are your Euro investments going?

 

They didn't in 1980. They lost their shirts.

Something tells me that will happen again, given the attitude of Gold Buggers like you.

 

Where exactly did I 'admit' that?


Typical Landru Guide Us post...short on facts, long on trolling, imo.

 

People make investments because of popular opinion. Gold historically goes up in value when the currency is struggling. That's a fact, it's not something that needs to be disputed. Part of the reason it goes up is because investors know gold is a solid investment when the dollar is weak. What proof do you need that people have these opinions? It's not "mind reading" it's about educating yourself on history and current events.

Why doesn't Landru understand the difference?

http://www.moneynews.com/StreetTalk/david-Skarica-fed-money/2011/07/15/id/403740

http://www.forexyard.com/en/news/PR...ollar-soft-jobs-data-2011-06-06T035107Z-US-US

http://money.oneindia.in/news/2011/05/31/gold-close-4-week-high-weak-dollar-aid0153.html

If investment advisers are giving people this advice, that's the "reason" people buy. Now is it clear the difference between "mind-reading" and simply "reading" or "listening?" It's like trying to explain to a dog how rock-science works, except the dog is an internet troll and rocket science is simple, everyday investment advice that even a child could understand.

An "opinion" can't be right or wrong, because it isn't a fact. Investment advice is an opinion.

 

Another meme made up by Joe Six-Pack. Do you ever bother to actually base any of your views on anything besides your biases?

 

Then prove he is wrong?

Show that people do not make investments on popular opinion?

But you won't....because you never (that I can ever recall) do.



Troll

1. One who posts a deliberately provocative message to a newsgroup or message board with the intention of causing maximum disruption and argument

http://www.urbandictionary.com/define.php?term=troll

 

Psssst: he made a claim. The burden is no him, not me. Troll.

 

It is no secret why the dollar goes up or down. The dollar goes up when there are less of them...and goes down when there are more of them. Has nothing to do with investors opinions. JPMorgan can't magically add more value to the dollar.

 

You would think so. But Joe and DA insist they can read the minds of currency speculators and have discerned their real intent.

I tend to be skeptical of the economics of clairvoyance.

 

Guess again.

You accused him of lying;

'Another meme made up by Joe Six-Pack.'

The onus is on you.

Or you owe him an apology.


Btw - are you a lawyer?

 

I will ask again...

Where exactly did I 'admit' that?