Constable Posted August 10, 2011 Share Posted August 10, 2011 People that say that gold is in a bubble are deluding themselves. Gold is real money and has been a store of wealth for the last 6000 years. Something cannot be in a bubble without leverage, and there is no leverage in the gold price. My humble advice is to buy silver. At the moment silver is treated as an industrial raw material, which it is, but it's also a precious metal that cannot be printed and sooner or later will take on an investment grade that people will take very seriously. "Gold is the money of kings; silver is the money of gentlemen; barter is the money of peasants; but debt is the money of slaves." - Norm Franz Quote Link to comment Share on other sites More sharing options...
The Eagle Posted August 10, 2011 Share Posted August 10, 2011 It will break $2000 before the end of the year (probably quite a bit before). Quote Link to comment Share on other sites More sharing options...
The Moderators Posted August 10, 2011 Share Posted August 10, 2011 "Why did you delete my topic, are you short gold?" It was merged with the pinned thread on the main house price forum, this second thread has been moved to the correct forum. Quote Link to comment Share on other sites More sharing options...
Constable Posted August 10, 2011 Author Share Posted August 10, 2011 "Why did you delete my topic, are you short gold?" It was merged with the pinned thread on the main house price forum, this second thread has been moved to the correct forum. Thanks. But you know as well as I do that gold breaking $1800 is significant and it wouldn't have hurt to keep the topic for a few hours. Quote Link to comment Share on other sites More sharing options...
Paul77 Posted August 10, 2011 Share Posted August 10, 2011 Something cannot be in a bubble without leverage, and there is no leverage in the gold price. Are you sure there is no leverage in the gold price? Quote Link to comment Share on other sites More sharing options...
pyracantha Posted August 10, 2011 Share Posted August 10, 2011 Gold is real money No it's not, that nice man in America said so... Quote Link to comment Share on other sites More sharing options...
Mixle Posted August 11, 2011 Share Posted August 11, 2011 No it's not, that nice man in America said so... His name is Ben. And he has a friend called Tim, who said the US will never lose it's AAA rating :angry: Quote Link to comment Share on other sites More sharing options...
'Bart' Posted August 11, 2011 Share Posted August 11, 2011 His name is Ben. And he has a friend called Tim, who said the US will never lose it's AAA rating :angry: He also has a cousin called Merv who is very vigilant. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted August 11, 2011 Share Posted August 11, 2011 People that say that gold is in a bubble are deluding themselves. Gold is real money and has been a store of wealth for the last 6000 years. Something cannot be in a bubble without leverage, and there is no leverage in the gold price. My humble advice is to buy silver. At the moment silver is treated as an industrial raw material, which it is, but it's also a precious metal that cannot be printed and sooner or later will take on an investment grade that people will take very seriously. "Gold is the money of kings; silver is the money of gentlemen; barter is the money of peasants; but debt is the money of slaves." - Norm Franz That's what my estate agent said about houses in 2007. Quote Link to comment Share on other sites More sharing options...
'Bart' Posted August 11, 2011 Share Posted August 11, 2011 That's what my estate agent said about houses in 2007. The thing is, were houses costing less (inflation adjusted) or more in 2007 than they were in 1980? I find it hard to accept that something that costs less than it did 31 years ago is currently in a bubble. When gold goes over $2300 an ounce, then we can start to at least think about a potential bubble. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted August 11, 2011 Share Posted August 11, 2011 The thing is, were houses costing less (inflation adjusted) or more in 2007 than they were in 1980? I find it hard to accept that something that costs less than it did 31 years ago is currently in a bubble. When gold goes over $2300 an ounce, then we can start to at least think about a potential bubble. They were saying that about houses too. Good luck. I wish you well. Quote Link to comment Share on other sites More sharing options...
'Bart' Posted August 11, 2011 Share Posted August 11, 2011 They were saying that about houses too. Good luck. I wish you well. Time will reveal all. Quote Link to comment Share on other sites More sharing options...
Constable Posted August 11, 2011 Author Share Posted August 11, 2011 Are you sure there is no leverage in the gold price? There might be the odd hedge fund that has a leveraged position, but other than that I can't see any. Quote Link to comment Share on other sites More sharing options...
Take Me Back To London! Posted August 11, 2011 Share Posted August 11, 2011 It will break $2000 before the end of the year (probably quite a bit before). That breaking of the $2,000 barrier is going to be very embarrassing, more so than $1,000, IMO. Gerald Celentine the founder of The Trends Research Institute, who called the bottom in gold a decade a go and is personally 80% invested in the stuff, believes that governments will take action against the hoarding of gold when it gets to $2,000. Quote Link to comment Share on other sites More sharing options...
Take Me Back To London! Posted August 11, 2011 Share Posted August 11, 2011 The thing is, were houses costing less (inflation adjusted) or more in 2007 than they were in 1980? I find it hard to accept that something that costs less than it did 31 years ago is currently in a bubble. When gold goes over $2300 an ounce, then we can start to at least think about a potential bubble. IMO, you have to add another 0 there to start thinking about a potential gold bubble. Quote Link to comment Share on other sites More sharing options...
Bruce Banner Posted August 11, 2011 Share Posted August 11, 2011 Thanks. But you know as well as I do that gold breaking $1800 is significant and it wouldn't have hurt to keep the topic for a few hours. It's back down to 1760 now. Quote Link to comment Share on other sites More sharing options...
Guest spp Posted August 11, 2011 Share Posted August 11, 2011 It's back down to 1760 now. Break out the champagne glasses! Quote Link to comment Share on other sites More sharing options...
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