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Ron Paul: What the Price of Gold is Telling Us

GoldSeek | Posted Sunday, 16 March 2008

The financial press, and even the network news shows, have begun reporting the price of gold regularly. For twenty years, between 1980 and 2000, the price of gold was rarely mentioned. There was little interest, and the price was either falling or remaining steady.

Since 2001 however, interest in gold has soared along with its price. With the price now over $1000 an ounce, a lot more people are becoming interested in gold as an investment and an economic indicator. Much can be learned by understanding what the rising dollar price of gold means.

The rise in gold prices from $250 per ounce in 2001 to over $1000 today has drawn investors and speculators into the precious metals market. Though many already have made handsome profits, buying gold per se should not be touted as a good investment. After all, gold earns no interest and its quality never changes. It’s static, and does not grow as sound investments should.

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we got tricked

now all of the ron supporters are going to go broke as gold falls. it was a big trick by the jews that own the gold cabal to sell their gold expensive and make ron paul fans eat the plunge.

MANYSTROM -- MANYSTROM -- MANYSTROM

Hey Many can I talk with you via e-mail -- I want to use Drupal for my website (I teach conscious-sleep and energization techniques called: "Harmonic Resonance") and I'm having a hard time getting my PC to work with Drupal.

Are you using a PC?

Can you view the e-mails we give to sign up for Daily Paul? I don't want to leave my e-mail in the open forum here.

Octobox
Wisdom is the anticipation of consequences!

As usual, informative but not impactful

That was a terrifying read...what was Ron Paul's action plan for us, We the People?

All I saw was this...

"we must start talking about the benefits and discipline that come only with a commodity standard of money – money the government and central banks absolutely cannot create out of thin air."

And if our 'talking' fails, he offers this...

"...panic and rejection of the dollar will develop into a real financial crisis. Then we will have no other option but to tighten our belts, go back to work, stop borrowing, start saving, and rebuild our industrial base, while adjusting to a lower standard of living for most Americans."

Okay, maybe among that giant essay about our financial catastrophe, things we can do about said catastrophe should be bolded, or all cap'd, or expanded on.

Here's what I am doing...maybe if everyone did this, we could turn lemons into lemonade:

-talk about the situation (yes, as Ron Paul said, we must inform the public), but do more than talk...teach, preach, pursuade! And vote for people who talk that kind of talk...BUT PERSONALLY, I DO THE FOLLOWING...

-pay off debt and save/invest. One of the 'foes' of our country is clearly the BANK (the bank wrote the recent bankruptcy legislation). Andrew Jackson killed the bank...but it came back. We the People must slay the bank for it to go away forever. (need help paying off debt? daveramsey.com). Being debt-free also dramatically frees people from the dependence on employers.

-unplug from big banks to further decrease their power. Yes. I mean open accounts with smaller banks/credit unions and close accounts with these big banks!

-get fit. Big bank works hand-in-hand with several other industries including Big Pharm. Getting in shape is the single best way to decrease Big Pharm's grip on our personal lives. Also, the government will respond to a fit People than a bunch of obese people.

-get involved in government at the local level

There is a lot more we can do as individuals, but you get the point. In short, the more we live wisely and freer, the harder it is for anyone to harm us.

It's indicative of the lack

It's indicative of the lack of trust in the dollar that gold is where it's at right now. The market anticipates the worst, which sometimes actually comes true.

Throughout History

it is found that when EVERYONE comes to believe that a market has only one direction, that is the point at which major reversals begin. And at the beginning of major reverals, EVERYONE sees it as a buying oppurtunity. Virtually NO ONE sees a trend reversal coming, and fundamentals always support their vision of a continued trend. What few ever realize is that it is human emotion that drives the trend, not fundamentals. The emotion that drives the trend up is created FROM the fundamentals. Once EVERYONE has succumbed to the forces of emotion, then all buyers have bought, all money is invested. And without MORE money coming in, the trend collapses.

I believe, that due to the enormous amount of coverage that metals are getting, and the overwhelming belief that the price of gold has only one direction, that a major trend reversal is near. The majority of Fools ALWAYS buy near the top.

We will have Deflation, not inflation, and one (only one) of the reasons I say this is because virtually NO ONE expects it.

please DIGG the article

Digg this article.

Before you forget, follow the link, scroll to the bottom, and click the digg icon so you can boost this article on digg.

Also, search for Ron Paul on Buzz.Yahoo.com

Buzz.Yahoo.com boosts articles better than Digg...so please do both.

Thanks.

Wow - great article!!

bump!