Gold is not money (but it might be a good investment)

RDB

Hamish you are seriously suggesting that with the worlds currency supply expanding and all these extra units of fiat currency added to the worlds supply, You are saying it will take less of these units to buy an oz of gold?

Look back this is what you are suggesting.

kabayiri

HAMISH_MCTAVISH wrote: »

Rubbish.

Gold is nothing but a speculative commodity with few real uses, and a commodity in a huge bubble at that.

One day in the not too distant future, you goldbugs are going to get wiped out by the gold price crash...... For all the very same reasons you think you won't.

Realists who hold gold as part of their investment portfolio will have a point where they offload their gold.

Being wiped out is partly a function of timing, and partly an issue of the mechanics behind buying/selling your investment.

I have sold some gold in the past. I also had a house to sell in the past during the previous recession, when prices were tumbling.

Any guesses as to which asset was easier to offload?

I doubt you have sold a house during a recession Hamish.

RDB

kabayiri wrote: »

I have sold some gold in the past. I also had a house to sell in the past during the previous recession, when prices were tumbling.

Any guesses as to which asset was easier to offload?

I doubt you have sold a house during a recession Hamish.

Its a very good point comparing precious metals with property.

You can always take your PMs to a dealer and turn it into cash the same day. Or if you want to advertise and sell it yourself you can get a better price but take a little longer.

With property in a falling market, a desperate house seller could only dream about taking it to a dealer and getting cash the same day. The nearest option is to sell at auction but if you set your reserve to high it may not sell and you still have to pay charges.

Harry_Powell

didn't the gold price crash just recently?

RDB

Harry_Powell wrote: »

didn't the gold price crash just recently?

If you call that a crash then the last 3 month of house price falls were also a crash.

I personally call it a little dip and a great buying opportunity before the next leg up to more all time highs for gold.

Today is a good day to buy!

Harry_Powell

what if it's a minor correction before a big fall (for both houses and gold)?

What if?????

RDB

Harry_Powell wrote: »

what if it's a minor correction before a big fall (for both houses and gold)?

What if?????

Is that like a what if they can sort the financial crisis around the world?

Usually PMs go into a bull run as houses crash and the other way around. As currencies are drawn away from one the other goes up a long way.

You dont get gold crashing along with everything else, gold crashes when everything else does well as currency is drawn towards these other things.

https://wealthcycles.com/video/catching-wave

Harry_Powell

gold is pretty, it shimmers and sparkles

RDB

Harry_Powell wrote: »

gold is pretty, it shimmers and sparkles

It should do yes if its real.

The IMF are making fake gold bars and selling them to India, and it seems the Bank of Russia is up to the same hanky panky as the IMF they issued gold coins that have been found rusting, which gold doesn't do.

http://www.zerohedge.com/article/rust-discovered-bank-russia-issued-999-gold-coins

It seems there isnt that much real precious metal left in the world as we are meant to believe.

Harry_Powell

I'd better buy some and probably some silvert too, and paladium I guess before it all runs out!