Anybody stocking up on Gold or Silver?

[Chris142]

I was hoping for Gold but my Prospecting isn't really paying off. Sure I may get some flakes here and there but I'll be 90 before I get a full ounce.

Buying Gold is out of my price range.

Considering Silver. It's around $23 an ounce now. I can afford an ounce here and there.

Is it worth it or not?

 

[JHZR2]

Ag has more industrial use than Au. Ir and Rh are rarer, but less liquid. Dispite all the discussion of QE, and despite the fact that inflation-adjusted, Au is still less than the early 1980s, IMO, it is too expensive at the current time.

 

[Steve S]

The basic rule is to buy low and sell high. Remember all commodities are manipulated so who knows except the manipulators.

 

[Drew99GT]

Originally Posted By: Steve S
The basic rule is to buy low and sell high. Remember all commodities are manipulated so who knows except the manipulators.


http://www.nypost.com/p/news/business/feds_probing_jpmorgan_trades_in_gZzMvWBqOJpB55M7Rh9vwM

http://www.zerohedge.com/article/exposing-london-bullion-market-association

Several banks have been charged with fraud for charging storage fees on precious metals that don't exist.

This kind of stuff could send the price of precious metals skyrocketing if there was a run on banks and a run on "paper" gold that doesn't exist. INSANITY!

The paper gold market is a total ponzi scheme. If you're investing in gold, make sure it's physical or the fund or ETF is investing in actual physical gold.

 

[Chris142]

Originally Posted By: JHZR2
Ag Au. Ir Rh QE,
Man I hate the symbles. I know that AU is gold and I'm assuming that AG is Silver but what is IR, RH and QE? I typed IR into google and got Ingersol Rand, RH got me Ron Howard.

 

[Warstud]

http://www.ptable.com/

 

[Shannow]

If I was in the US, I'd probably look at Gold and Silver.

Seeing the apparent skyrocketting gold prices, I started getting some trending done.

In $Aus, it's been flat for months.

People seem to be using it to hedge a falling $US.

Pundits have the Aussie Dollar rising another 12% by early to mid next year (not that it's actually rising in purchasing power if you get my drift.

 

[Tempest]

Quote:
not that it's actually rising in purchasing power if you get my drift.

Yep. It's always rising or falling relative to what...

 

[dwendt44]

Gold is high now, that's why the ads for selling it to the gullible are all over the place.
If you reallly need to buy some, run up to Canada and buy Maple Leaf coins.

 

[Al]

Buy GLD

Taking delivery makes no sense (to me)

 

[Drew99GT]

Originally Posted By: Al
Buy GLD

Taking delivery makes no sense (to me)


My only concern about "paper" gold is most of the exchanges are run like fractional reserve banks. It's a ponzi scheme at best IF the poop hit the proverbial fan and demand for physical gold outpaced paper deposits. It would render most ETFs, funds, or accounts holding nothing but paper, worthless.

In the article I linked to above, he estimates 50,000 tons of gold has been sold that doesn't exist! That's all the gold reserves in the world yet to be mined for the next 25 years.

 

[JHZR2]

+1

 

[Al]

Originally Posted By: Drew99GT

It's a ponzi scheme at best IF the poop hit the proverbial fan and demand for physical gold outpaced paper deposits. It would render most ETFs, funds, or accounts holding nothing but paper, worthless.

Thats an opinion. And if the poop hits the fan that bad. ..trying to buy food with silver and gold will only get you robbed (of both food and gold) by people with guns And nothing will be worth anything..not even a human life.

You have to identify your bounds. If gold ETF's fail, so will all stock and mutual funds. Right now it is a great hedge and I'm covering myself by Stop Losses.

 

[ArrestMeRedZ]

I'm sorry, I don't understand that statement. If it's a post-apocolyptic situation, I suspect having gun for protection would be required. Gold (or silver) for trade will get you farther than just having a gun.

I was reading that silver holdings were leveraged worse than gold. With the industrial uses for silver, there might be valid market reasons for it to continue the climb.

 

[Al]

Originally Posted By: Drew99GT

In the article I linked to above, he estimates 50,000 tons of gold has been sold that doesn't exist! That's all the gold reserves in the world yet to be mined for the next 25 years.

That's where the article falls flat. A quantity of gold, or silver, or dollars can be bought and sold a limitless number of times. There is no way of calculating it.

If $100 worth of gold is traded ten times..this guy would say that $900 worth of gold doesn't exist.

 

[Kestas]

A friend of mine is invested in gold (OGMBX). It's gone up a lot. I advised her to consider selling it.

 

[Al]

Originally Posted By: Kestas
A friend of mine is invested in gold (OGMBX). It's gone up a lot. I advised her to consider selling it.

Cut your losses and let your profits run. I'd sell half and put a stop loss on the other half.
Unfortunately its a back loaded fund = bad idea.