Gold is going through the roof

LisbonLaura

Jonbvn wrote: »

A good article from yesterday's Torygraph on gold. They are predicting $1000/oz shortly.
quote]

What a pity Gordon the pension thief cannot be prosecuted for selling off UK gold....esp. as he announced it first to drive the price down further.

He did it for his 'mates' one presumes?

Or am I just a cynical old maid, rather than a healthily sceptical one?

[Deleted User]

Even worse they annouced they were going to flog it off, so the market crashed with short sales knowing they could buy it back on teh cheap. When the trust in paper is gone, commodities are a fantastic form of money.

USA government policy - borrow infinite amounts of dollars at a level we cant pay back to fund crazy wars so we can nick their oil.
USA bank policy - loan out infinte sums to people who can back those loans with infinite borrowings, makes us infinte profits clever eh?

At least the UK governement loans are only at about 41% (despite the gold being sold at a time that was meant to be prosperous), but they are breaking up slightly which is not good. Our banks wernt so clever though, insolvencys are going up.

doberryfirkin

ts_aly2000 wrote: »

Gold is a safe bet. Not exactly easy to shift about though.

I dunno. Gordon Brown shifted quite a lot 10 years ago for a pittance. Must be regretting it now tho'. Mind you it was other peoples money so he wont care!

[Deleted User]

It is possible for us to trade gold, some high street places trade coins and bars at a small percentage premium to the spot price obviously vat free nowadays. You can also trade CFDs, some bullion dealers allow you to trade it online. But I wouldnt recommend doing this unless you have been doing it for a while.

In my opinion people should really be looking at funds in the more stable economys ie europe, pacific (as a whole not specifically china) that invest on strong fundermentals and earnings growth. Also the commodities that will always be needed, one example - merril lynch gold and general, cash in on the fact that coffee, gold, copper, steel, oil, food etc will be more expensive because people will be using this to back there money rather then property and bonds. It might take a year or two for these companies to be bagging these higher prices so the profits would not have hit the spread sheets yet, likewise when the prices fall, you will get at least a years warning. How much did you pay for milk this weekend? how much did you pay 2 years ago?

As for me im aiming at specific types of stocks trading on mainly foreign markets (canada, aussy, hongkong), good hedge against sterling too. Im already up 56% on average, im expecting this to be 400%+ before the credit mess is sorted. The risk is of course spread far and wide, I hold little cash and a long period fixed rate mortgage.

free4440273

Something has just hit the FTSE... -134

^no cause for alarm: it will be up 500 tomorrow no doubt :rolleyes:

[Deleted User]

free4440273 wrote: »

Something has just hit the FTSE... -134

^no cause for alarm: it will be up 500 tomorrow no doubt :rolleyes:

Hasnt made a dent in any of my london listed shares though :cool: :beer:

The FTSE is mildly priced compared to the yank market, which is very overpriced. Although the FTSE 250s are overpriced in general IMO.

Loads of bargains on AIM though (and equally as many crazy ventures too lol)

free4440273

...and Vedanta STILL rising:rotfl::eek:

[Deleted User]

free4440273 wrote: »

...and Vedanta STILL rising:rotfl::eek:

Im not in vedanta, but... think about how well india is doing, think about how much resources it has, think about the fact vedanta is only at 6bn, but is the biggest miner in india. Lots of potential, just needs to keep expanding its operations.

Im in small companies that I think will do better quicker then vedanta having only pokey amounts of money I can do this if I have warren buffets money or the money of a investment fund, vedanta would be the best option because its easyier to get money in and out of - hence why its probably doing so well, they are all buying it up slowly. A million times better investment then china mobile 400bn hahaha:rotfl: .

free4440273

I still think it's overbought, like many of the mining shares at the moment...

[Deleted User]

The reason it probably looks expensive to the fundermentals you would use for banks or service companies, is that the price is not simply based on projected growth and earnings. But you need to factor in a weighting the expensive mining assets and all the land they have rights to with the respective reserves, not just that but the position they are in to take further projects. The analysts have done all this and assessed the price at 2400p a share. But id bet money on them being £40 a share in 3 years time, eaqrning grow with commodity price inflation too (itll take at least 2 years for todays prices to be hitting the balance sheet fully). I havent made that bet however, as I have better prospects then that!