GOLD- the only true currency?

cloud_dog

Blah99 wrote: »

Now for a resource that's on the extraction decline but demand incline, look at uranium!

May I suggest Thorium, for the future.

Lol_UK_2

Blah99 wrote: »

It's platinum in a catalytic converter. Interesting article you posted, btw.

Gold also goes into all sorts of stuff - circuit boards/conductors/av equipment etc...

Now for a resource that's on the extraction decline but demand incline, look at uranium!

Not sure I'd want to keep that under the bed though...!:rotfl:

sabretoothtigger

Some of the vital elements they put into mobile phones might be rare enough

http://www.bloomberg.com/apps/news?pid=20601081&refer=australia&sid=aW8xVLQ4Xhr8)

China will control lots of things in future, this downturn could be their making a few people say. I dont hear them snapping up gold though Russia has 90 tons more since last year ?


Gold on circuit boards is not significant afaik, they used to strip it off the old 1980's computers but manufacturing has advanced exponentially since then

Speaking of which technology in general is a better bet then gold tbh. I'd agree with that long term 2% rule on gold, it has no great use and as its highly recyclable it adds up

StevieJ

Lol_UK wrote: »

Because oil is consumed and is short-term.
It goes up and down in value and will run out.
All the gold mined is still here!
Don't think we were ever on the oil standard as a way of making our fiat currency worth something...

If oil is being consumed faster than it is found then it is becoming scarcer, is that not classic supply and demand economics, the scarcer it gets the more the price increases
Glad I didn't listen to the gold rampers recently.

cloud_dog

StevieJ wrote: »

Glad I didn't listen to the gold rampers recently.

Me too.......

Lol_UK_2

StevieJ wrote: »

If oil is being consumed faster than it is found then it is becoming scarcer, is that not classic supply and demand economics, the scarcer it gets the more the price increases
Glad I didn't listen to the gold rampers recently.

Moot point...I was only answering the question why gold is/was used as currency and not oil.

sabretoothtigger

Paulson & Co go for gold

Posted by Gwen Robinson on Mar 18 05:04. Paulson & Co spent $1.28bn buying Anglo American’s stake in gold miner AngloGold Ashanti on Tuesday as the New York hedge fund moved from betting against banks to betting against governments. Paulson, founded by billionaire John Paulson, bought 11.3% of the Johannesburg miner as part of its bet that gold benefits as paper currencies suffer from the financial crisis and from governments printing money.

See statements on FT Alphaville.

stv1x

Oh dear, has anyone invested in printing press companies? First here and now there....

http://online.wsj.com/article/SB123739788518173569.html#articleTabs%3Darticle

Edited to add that this news has lifted gold by $60 in the space of a couple of hours

Blah99

Lol_UK wrote: »

Gold has worked down from Alexander s time... When something holds good for two thousand years I do not believe it can be so because of prejudice or mistaken theory.

Baruch, Bernard M.
1870-1965 American Financier

Only just spotted that awesome quote. Shame it's utterly wrong!