Comment: Gold buys what it always bought.

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Gold buys what it always bought.

Its a store of value. Don't think you will get rich buying gold. Think I won't be bankrupt owning it.

I began to understand gold as a store of value about 5 years ago. Joe Battaglia is a gold advisor from He explained it this way. If you had a $20 gold piece from 100 years ago it would buy a fine mens suit. That same $20 gold piece today will still buy a fine suit. With todays price of gold that is absolutely true. But what will a $20 bill buy you? Certainly not a new suit. So you begin to understand the reason to save gold instead of Federal Reserve notes is not so you can get rich. Its so you can buy in the future what you need.

What has happened to the value (ie. purchasing power) of the dollar since the creation of the Federal Reserve. Nothing but a steady decline in value, reflected by the higher "price" of goods and services.

If you are looking to beat the market good luck. If you are looking to stave off a financial calamity then own gold and silver. You will definitely sleep better knowing your "investment" will always buy what it always bought. Isn't that the reason we save. Why save what will buy less tomorrow.