Who is buying the gold?
We know that the price of gold is going up. Now that is great for those investing in gold. But who are those investing in gold? Are they Americans? How do we know who is benefiting from the rise in price. I know I don't have a lot of money to invest in gold, and most of the people I know don't have money to invest in gold. If anything they are desperate and selling to pay of some of their debt. We know that the Chinese Central Bank has a lot of dollars. But any movement there would be seen, wouldn't it?
What prevents foreigners from coming to the States with dollars, going to local dealers with dollars and taking gold back with them to their respective countries? I know in the past many drug dealing rings have used gold as a means to launder money, they buy into a mining company, claim to produce gold, buy up gold in the States cheap, melt it down, and bring it into circulation legally. (One more reason to decriminalize drugs). The Chinese government is also encouraging private ownership of gold, but our government isn't. So who is buying the gold to make it go up? Is there any statistics on this?
Silver > gold.
Silver > gold.
It's not just demand from gold buyers...
that's driving up prices, inflation of the currency is also a factor.
Also, there are stories about central bankers around the world playing games with gold, moving it around from here to there, etc. to manipulate prices.
Buy gold as a store of value only. If the currency crashes, you'll still have wealth. If all you have in the bank is FRN's, or only own assets that can be easily converted to FRN's, then what?
Go Ron Paul | Go Grassroots
Gold is not High, the Dollar is Low
High gold prices are not good for people who want to invest in gold. Remember, buy low, sell high.
The price of gold in dollars is a reflection of the comparitive value of the dollar, not gold. As Ron Paul points out, the price of oil has followed the price of gold. They are both commodities. The dollar today is a fiat currency, unbacked by anything. It apparent value is based on its scarcity. As the engine of inflation (the Federal Reserve) has printed dollars out of nothing to purchase treasury bonds, enabling our politicians to pay for their generosity, the increase results in a lower purchasing power.
This very fact demonstrates that a return to gold would end inflation. The last thing our politicians want is honest money. It would force them to rely on taxes and borrowing to pay the obligations of the government.
Watch the videos I posted here BEFORE you decide about Gold!
********URGENT***** Truth about FEDERAL RESERVE - oil - GOLD*********
I am
I benefit from it daily as does the rest of my family. In fact my brother in-law recently took his kids savings account, and drained them, buying gold for them instead. We have bought gold at below spot prices, made stuff out of them, and tripled on spot. That's how gold benefits you.
Do you know what other countries do? The Indians for example, buy gold with any savings they may have, especially in hard times, and they make rings, pendents, earrings, whatever they can wear, as a way to store it. Then when it's time they liquidate a little at a time. That's the example everyone needs to follow. Commodities in general; gold specifically.
About the $400 an ounce comment below, Investors were even then telling you to buy gold. It's the same old song only increasing in volume over the past few years.
LATE
The time to buy anything is when it's out of favor. A few years ago if you asked an investment adviser about gold or silver they would have laughed at you. They will continue to go up, but you could have had gold for around $400 per ounce not long ago and silver at $6 per ounce.
I was called an idiot back then for buying it, but now it's still sitting in my safe at nearly $1000 and $20 per ounce and climbing. Everyone on this site should be educated very well by the time the revolution gets really going. Buy the Gold or silver on any 10-20% pullback from the current pricing. Gold can be had in 1/10th ounce eagle from the US Mint. These are now around $100 each, but will likely pull back to the $80-$90 range this spring. Silver is only available in 1 ounce lots or larger. But it's only $20. You should be able to buy it at around $17 per ounce this spring if the pullback happens. Markets don't often just go straight up. always look at charts and you'll be able to easily see a pullback. The average person should be able to salt away 100 ounces of silver per year without much trouble and/or 1-2 ounces of gold. Platinum is pretty far out of reach for the average Joe.
Another good thing is that the government and banks can't just confiscate it like your paper dollars. They just inflate those and you lose. They would have to physically come and get your gold/silver. Just get a regular payroll investment. Every paycheck--get a few ounces delivered. That way you're a lot less likely to sell it and will hold it for the long term. Bulliondirect.com has done a good job for me. I'm not associated with any coin or commodity dealer in any way.
Leave no paper trail
buy in cash, take possession.
Hoover confiscated all the gold in his presidency - could happen again.
No paper trail! No buying on credit cards! CASH only and then hide.
on a chronological scale?
it is still a good time to buy gold...perhaps now it is a a 1/3 popularity point, but still a good time....maybe even 1/2....gold will triple in the next 2-4 years.
regardless, gold is for the long haul, and that is what i am interested in.
gold stock for some short term gain. but physical, liquid, on-hand gold for the long haul.
j u s t k e e p p i l i n g i t u p !
just like everything else...
just like everything else... gold is going up because the value of the dollar is going down... Russia, China and the arabs are the main peoples buying gold right now.. they know that the US economy is going to collapse! they are protecting themselves.. THEY do not have to buy the gold in the US russia has lots of gold production and China is huge in getting there production going.. mostley the price rise in gold is competetive devaluations of currencies right now.. Guys if you can't afford gold go buy the better thing ahich is silver!!!!!! you can buy only what you can afford.. SILVER IS THE WAY TO GO.. It will give you bigger return percentage wise! Also.. please remember... the jerk off assholes who run this country want this country and its constitution to go away.. that way they can have there one world government.. encouraging Americans to keep gold is counter productive to the CFR, ET.AL. the only thing that stands between a free USA and a one world government is the second ammendment! we are heading into a dpression that will make the 30's look like a highschool prom party! buy food, weapons and ammo and get silver and gold coins!
“A prudent man foreseeth the evil, and hideth himself: but the simple pass on, and are punished.” (Prov. 22:3; 27:12 KJV)
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Can't afford Gold? Buy
Can't afford Gold? Buy Silver, it has been doing better than gold lately. And its still cheap! Some predict 50 dollar silver and beyond.
Follow ...
the yellow brick road
Good question
I always questioned that as well, if the dollar is falling, then won't the value of houses go up as well. It doesn't make sense cause the dollar is gaining in value if you can buy a house for less dollars? I know there is the supply and demand question involving too many houses on the market, but there still has to be a real value to a house. Perhaps, it is just another way to bring more foreigners, those with dollars, taking advantage of the cheaper houses when people walk away. I would think the best thing to do is not walk away if you can make your minimum payments, or buy if you have the cash? Too difficult for my brain.
No
Fortune Favors the Bold
Ultimately, prices go down with inflation. Once it reaches this point, it's pretty much depression.
Things like houses, whose value is based on speculation, don't follow the price logic of commodities whose value is based on simpler market principles.
Fortune Favors the Bold
gold will not go down when
gold will not go down when depression comes... the dollar has nothing backing it this time..
“A prudent man foreseeth the evil, and hideth himself: but the simple pass on, and are punished.” (Prov. 22:3; 27:12 KJV)
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Another question
I have been reading about the mortgage crisis, and I'm wondering about the prediction that people would walk away from their homes if the value falls below what they owe. This doesn't completely make sense to me. I would think that most would stay in their homes, as long as they can afford the payments. I am assuming here that most are on fixed interest rate mortgages. Maybe that is where I am missing the assumption. Comments?
For Liberty!
For Liberty!
I belive it's rhe ARM's that are
causing the damage
Possibly the US Gov't
Lots of countries have been selling gold in the thousands of tons. I would not doubt that the US is buying it to hedge their bets....
Anyone who has cash to
Anyone who has cash to convert to gold, is doing better than most in the story.
That's why so many people feel so angry and helpless.
We KNOW the solutions, it's just that most of the solutions are not "afforded" to us.
*sigh*
Some animals seem to get to be "more equal" than others.
Anyone with a solution that doesn't involve burning the whole farm down please step up and let your voice be heard.
Please...
...entertain me and think of a solution based upon: allocation.
no matter what your situation, allocation can be the most advantageous, prudent, and efficient means towards a healthy financial lifestyle.
it is a matter of discipline. the worse off you are now financially, the longer it will take to get to a better place - even a wealthy place.
but, it is a matter of allocation. for argument's sake, let us use $100 as the lump sum of all debts/expenses. Assume you're living on the edge and make $110 monthly.
for a middle of the road monthly approach:
mortgage - $33
credit card - 5
car - 15
living - 20
401k - 10
fuel/maintenance - 17
please cut me some slack....all situations are different and numbers are not representative.
the point is, there is $10 each month that is not allocated. also not taken into account are the $15 each month that are not efficiently saved/changed. for instance: can you carpool twice a month? not buy some of those "much needed" items on the credit card? cut back on entertainment? refinance to a better rate (without using an ARM) or to a better term (perhaps you can afford a 15 vs 30 yr mortgage)?
the trick is to go UP in savings while simultaneously going DOWN in debt.
the LESS debt you have, the MORE you can allocate to savings. the MORE debt you have, the LESS you can allocate to savings. Either way, you MUST do both to be :"successful" in creating wealth.
no? it would be no good to you to be able to amass a million dollars if you also built 2 million in debt. etc etc.
even if you pay $2 (using my illustration ratio) more each month towards your principal on the mortgage (there are still tax benefits for certain tax brackets to have a mtg), another $5 to 401k I (personally, i cashed out and bought gold/siver), another $5 towards seeds, solar, fuel, bullets, food storage etc.
anyway...you get the point.....it is a matter of allocation and discipline.
you CAN get there. it is just a matter of time and discipline.
peace
What can you do without?
Imagine your life during a depression. What would you be forced to do without? What can you do without right now to help you do better then? Can you sell your car and buy a cheaper one? That might free up some cash.
Suppose you had to leave your home with only what you could stuff into your car. You would have to leave most behind. Is there anything in that left-behind pile you could sell today?
Do you have a membership with monthly dues or fees? Could it pay for storage food, a gun, or silver ingots if you let it lapse?
It is important to pay off your debts but it is more important to be prepared for hard times. The charities may try to help, but take responsibility for your own survival and lighten their load a little.
New Hampshire and Ecuador
get on a weekly silver
get on a weekly silver buying program at your local coin shop.. if you can only afford 5.00 bucks go buy 5 pre 1964 90% silver dimes every week! this will add up.. in the long run silver will do better then gold percentage wise!
“A prudent man foreseeth the evil, and hideth himself: but the simple pass on, and are punished.” (Prov. 22:3; 27:12 KJV)
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