Lepista

Gold strategy in the current economy

11,950 posts in this topic

It has now hit the main headlines on the BBC business page - surely this now deserves merit to be discussed in the main page of HPC? After all, I'd like to think that we are "ahead of the curve"..

[u][b][url="http://www.bbc.co.uk/news/business-14195981"]Gold price climbs to new record on debt uncertainty[/url][/b][/u]

[quote name="BBC"]The price of gold has hit a new record price of $1,610 an ounce as debt worries in the US and Europe have intensified.

It climbed above $1,600 for the first time on Monday, capping a record-breaking rally of 11 days of gains.

[b]Gold is considered a safe investment [/b]and usually gains at times of global economic uncertainty.

Silver also continued to climb, to above $40 an ounce, its highest price for two months.

"Gold hit another milestone... at $1,600 as investors lose confidence in the ability of politicians to get a grip with the debt problems weighing down on sentiment," said Michael Hewson from CMC Markets, a trading group.

[b]"More advances look likely,"[/b] he said.

The record breaking price comes ahead of Thursday's summit of eurozone leaders in Brussels where they will once again try to contain the growing debt crisis.

Investors are concerned that Greece may default on its debt, and countries such as Italy and Spain, who are also struggling with high debt levels, will get pulled into the crisis.

US default?

Meanwhile in the US politicians are struggling to reach an agreement on a deficit reduction plan in time to avoid a debt default before the deadline of 2 August.


Gold price reaches new high on eurozone debt fears
Nicholas Brooks, the head of investment strategy at ETF Securities, told the BBC investors were worried about the US economy.

"I think the concern is that if we see another round of so called quantitative easing, it's basically de-basing the US dollar. It's putting new dollars into the system and that of course makes investors concerned about holding on to US dollars.

"When they look at the alternative, the euro and the issues that are now affecting the euro, they look for alternatives and gold of course is one of the first places they go, along with other so-called hard commodities," he said. [/quote]

Mixed signals here - on the one hand they are flying the warning flag, saying "prices are higher than they have ever been before", but then almost in the same breath saying that the price will go higher, and that it is "considered a safe investment"... Note that they don't put any disclaimer on it - it is therefore "never" an unsafe investment...

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my teeth must be worth a mint

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[quote name='Bloo Loo' timestamp='1311066189' post='3058776']
my teeth must be worth a mint
[/quote]

the tooth with a hole?


[img]http://3.bp.blogspot.com/_9c2841q7u_c/Sw5wv9QPLWI/AAAAAAAAC2Y/HvaRLV_QaA4/s1600/polo.jpg[/img]

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I saw them going on about gold prices have gone up consistently for the last 10 years about 3 weeks ago and painting the picture of gold only ever goes up in price. There not wrong but I do recognise the type of "journalism". Do you recon they have all sold their houses and bought gold?

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[quote name='Bruce Banner' timestamp='1311066177' post='3058774']
Stand by for the invasion of the messianic goldbugs.
[/quote]

Wouldn't it be nice if we could have one, just one, thread on the main page, where people could discuss gold as part of the wider economy...? i think it would stop all this "gold-hijacking" of other threads.

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[quote name='Lepista' timestamp='1311066615' post='3058788']
Wouldn't it be nice if we could have one, just one, thread on the main page, where people could discuss gold as part of the wider economy...? i think it would stop all this "gold-hijacking" of other threads.
[/quote]

wot, like we used to have?

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[quote name='Lepista' timestamp='1311066615' post='3058788']
Wouldn't it be nice if we could have one, just one, thread on the main page, where people could discuss gold as part of the wider economy...? i think it would stop all this "gold-hijacking" of other threads.
[/quote]

I don't agree.

Gold has it's own forum http://www.housepricecrash.co.uk/forum/index.php?showforum=50 , this one is about house prices.

It would be nice if there could be the odd mention of gold in threads in this forum, but as soon as it's mentioned the goldbugs turn up and trash the thread :(.

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[quote name='Bloo Loo' timestamp='1311066659' post='3058790']
wot, like we used to have?
[/quote]

I couldn't possibly comment.

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It's a very bland but factual non-committal article from the BBC, shame they cannot write stuff like this about housing instead of resorting to spouting VI rubbish.

News should be simply reported, not interpreted, spun and then reported with bias.

Joe Sixpack having read this article would come away having no idea whether to invest or not, which is exactly how it should be. Every man should be allowed to make up his own mind and not be steered towards making decisions by cretins who have vested interests.

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[quote name='Bruce Banner' timestamp='1311066961' post='3058794']
I don't agree.

Gold has it's own forum http://www.housepricecrash.co.uk/forum/index.php?showforum=50 , this one is about house prices.

It would be nice if there could be the odd mention of gold in threads in this forum, but as soon as it's mentioned the goldbugs turn up and trash the thread :(.
[/quote]

Actually, this one is about house prices [b]and the economy[/b]

I agree about the trashing of threads (to an extent) however the anti-gold bugs are often just as guilty of fanning the flames (mentioning no names).

However, wouldn't letting the "bugs" some outlet on the main board relieve the trashing to some extent - there would be an outlet on the main board for them.

Finally, it is useful for visitors and newbies to our site - many, many people will [b]never[/b] venture to the other forums, and the HPC forums are only this mauin page. Having a balanced portfolio in the main forum allows people to get an overall view of what peoples opinions are on here.

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[quote name='MrFlibble' timestamp='1311067780' post='3058811']
It's a very bland but factual non-committal article from the BBC, shame they cannot write stuff like this about housing instead of resorting to spouting VI rubbish.

News should be simply reported, not interpreted, spun and then reported with bias.

Joe Sixpack having read this article would come away having no idea whether to invest or not, which is exactly how it should be. Every man should be allowed to make up his own mind and not be steered towards making decisions by cretins who have vested interests.
[/quote]

It's interesting that it's their top business story. Gold has peaked again and agin over the last couple of years.

I guess it's just because it's hit the £1,000 / oz limit that it's "interesting" news.

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[quote name='Lepista' timestamp='1311067785' post='3058812']

I agree about the trashing of threads (to an extent) however the anti-gold bugs are often just as guilty of fanning the flames (mentioning no names).
[/quote]

I agree. They're as bad as each other and the result is that many interesting threads get taken off topic. Best keep it to the gold forum where they can argue to their heart's content without spoiling other peoples' enjoyment of the forums.

It's not as though gold can't be discussed by those that wish to, but some of the goldbugs appear to be on a mission to influence/convert as many guests as possible to their point of view and to do that they post on the main house price forum rather than the gold forum which has less guests viewing.

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[quote name='Bruce Banner' timestamp='1311068749' post='3058833']
I agree. They're as bad as each other and the result is that many interesting threads get taken off topic. Best keep it to the gold forum where they can argue to their heart's content without spoiling other peoples' enjoyment of the forums.

It's not as though gold can't be discussed by those that wish to, but some of the goldbugs appear to be on a mission to influence/convert as many guests as possible to their point of view and to do that they post on the main house price forum rather than the gold forum which has less guests viewing.
[/quote]

Have a look down the topics on the first page. Now look at all the sub-forums. Strictly, most topics should be moved to other sub-forums.

I don't know what the answer is - when there was a single thread allowed (the "gold" thread) it seemed to work best. it was a place where posters could ramp, or otherwise, to their hearts content, allowing people to vent their spleens on the main board.

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[quote name='Lepista' timestamp='1311067899' post='3058815']
It's interesting that it's their top business story. Gold has peaked again and agin over the last couple of years.

I guess it's just because it's hit the £1,000 / oz limit that it's "interesting" news.
[/quote]

Guess they had to write about it at some point, the elephant in the room is getting hard to ignore, the elephant being the trashing of our currencies and the effect that is having on the price of stuff. All kinds of stuff.

I think it is going to be very difficult for Joe Sixpack to see the link and see Gold as one solution to his depreciating money woes. Gold simply isn't mainstream and virtually nobody owns it or views it as money. This probably won't change until the media start ramping it, then we'll have another bubble and another load of people losing their shirt when it all goes pear-shaped.

Us lot on here understand what is going on and why Gold is rising, even if we don't own it, Joe Sixpack doesn't.

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[quote name='pezo' timestamp='1311066556' post='3058787']
I saw them going on about gold prices have gone up consistently for the last 10 years about 3 weeks ago and painting the picture of gold only ever goes up in price. There not wrong but I do recognise the type of "journalism". Do you recon they have all sold their houses and bought gold?
[/quote]

We're a [i]long [/i]way from gold ramping being the new house price ramping. When it does happen (and if the money printing and resulting inflation continues, the population will eventually catch on) then we'll really see fireworks. Most of the 'gold bugs' however will have bought their stash long before we get a bubble market and at much lower prices.

Let's face it - for the last 2-3 years, gold has consistently been making new 'all time highs' in pretty much every main currency. IMO we are into the early stages of endgame for the big Western currencies. There simply is no way to cover all the debt that has been issued without either massive default or all out debasement trough debt monetisation.

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[quote name='Sour Mash' timestamp='1311069751' post='3058849']
We're a [i]long [/i]way from gold ramping being the new house price ramping. When it does happen (and if the money printing and resulting inflation continues, the population will eventually catch on) then we'll really see fireworks. Most of the 'gold bugs' however will have bought their stash long before we get a bubble market and at much lower prices.

Let's face it - for the last 2-3 years, gold has consistently been making new 'all time highs' in pretty much every main currency. IMO we are into the early stages of endgame for the big Western currencies. There simply is no way to cover all the debt that has been issued without either massive default or all out debasement trough debt monetisation.
[/quote]

I couldn't agree more, and gold is very relevant to 'House prices and the economy' because at some point all other assets will be priced in gold (and silver) in some form.

When measured in real things that cannot be printed (gold, silver and for that matter all metals and most commodities) UK house prices have plummeted.

Mike Maloney reckons the average house price in the US in the not too distant future will be around 500oz of silver.

Nothing to do with ramping, it's what happens when economics of the madhouse are practiced by TPTB.

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[quote name='Sour Mash' timestamp='1311069751' post='3058849']
We're a [i]long [/i]way from gold ramping being the new house price ramping. When it does happen (and if the money printing and resulting inflation continues, the population will eventually catch on) then we'll really see fireworks. Most of the 'gold bugs' however will have bought their stash long before we get a bubble market and at much lower prices.

Let's face it - for the last 2-3 years, gold has consistently been making new 'all time highs' in pretty much every main currency. IMO we are into the early stages of endgame for the big Western currencies. There simply is no way to cover all the debt that has been issued without either massive default or all out debasement trough debt monetisation.
[/quote]

IMPO, Gold will be in a bubble when bankers will LOAN you money to go and buy the stuff, as they did with houses.

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[quote name='Lepista' timestamp='1311067785' post='3058812']
I agree about the trashing of threads (to an extent) however the anti-gold bugs are often just as guilty of fanning the flames (mentioning no names).
[/quote]
I will mention a name: I haven't seen a post by RealistBear for ages. Did he get banned or walk away in a huff or something?

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[quote name='DeepLurker' timestamp='1311071411' post='3058876']
I will mention a name: I haven't seen a post by RealistBear for ages. Did he get banned or walk away in a huff or something?
[/quote]

He's currently in Germany picking up his order from CID. :P

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[quote name='Red Karma' timestamp='1311072330' post='3058896']
momo bots now have control.

can only end in tears.
[/quote]
fun to watch though and interesting at the sametime, amazing how all the talk on here is now about Gold and not Bankrupting JP Morgan as it was a couple of months ago, cant think why Edited by Mary Cassatt

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Refuse to get drawn into the hype...no need for gold..can't see will ever have. ;) Edited by winkie

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