Gold Spikes As World Gold Council Says Gold Demand Surges 36% In Q2, Sees Ongoing Demand Out Of China And Europe

Tyler Durden's picture

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ABCStore's picture

Unexpectedly, seasonally adjusted demand for gold is up...

knukles's picture

And just as all the other excuses are being tooled from whole bullshit, Goldman is squeezing the puss out of JPM and HSBC's perpetually increasing and more outter of the money futures and options positions just parcecs in fronrt of the COMEX options settlement date.

Think JP and HSBC have gotten their calls to the Fed and Department of Treasure yet?

Goldilocks ain't part of that racket, eh?  So, free game, no?  Hell, more like free fire zone.


ATG's picture

So what was the bear case on gold again?

Lopsided gold comments on ZH may be prima facie evidence we may see gold at 1050 first drop target:

How many here will admit to being bearish on stocks during March 2009 to April 2010?...

bronzie's picture

stocks are for suckers - goldbugs aren't suckers

nope-1004's picture

Ya, neither were real estate investors, especially in Japan... an island with limited land, huge population base, bustling economy, on and on.

Logic makes no sense in this environment.

Just sayin'.



Citxmech's picture

I can.  I was stacking then - and still am.

tmosley's picture

I was bearish until May of 2009 when I realized that QE was driving up the stock market.  At that point, I covered my shorts and got completely out of the market, and went all in gold and silver (though I already had good sized positions in both).  I sleep better now.  I'm a lot richer for it, too.

I wouldn't take comments on ZH as any sort of indicator.  You have no idea what kind of people are posting here.  It could be professionals, it could be students, it could be shoeshiners, or it could be industry insiders.  No way to know.  Go to Yahoo Finance boards if you are looking for contrarian data.  You can be fairly certain that there aren't a bunch of insiders hanging around there.

Geoff-UK's picture

<raising hand to ATG's question>...but I'm still crapping my pants about the future, so I'm not kicking myself too hard for missing that run.

Burnbright's picture

Gold haters converge in 3...2..1.

Dr. Richard Head's picture

You can't eat it you know and uhhhhhhh......

Dr. Richard Head's picture

It doesn't pay dividends either and ummmmm.........

ColonelCooper's picture

You have to pay a 8% premium and ummmmm......

Who else is from Prussia's picture

you have to pay storage fees and ummmmm......

Hephasteus's picture

Plus only greedy horders are into it and it's hard to steal from greedy horders. If they just put the money int he bank they can then BEG to be stolen from.

spartan117's picture

And dollars are more rare in a deflationary environment!

Quintus's picture

Yeah, and if you bought gold right at the very top of the market in the 80's you've lost money whereas if you'd bought stocks right at the very bottom of the market you'd have made a Gazillion dollars by now.

teaddy bearish's picture

and it is heavy uhhhhhhm ....

Mr Lennon Hendrix's picture

It'll put holes in your pockets, derrr.............

midtowng's picture

It's only good if civilization collapses, and if that's the case then you should be buying shotguns and canned food instead because it will be a Mad Max-type world.

So when gold went dramatically up in value in Zimbabwe in 2007, in Argentina in 2001, in Russia in 1998 and 1993, people there should NOT have bought gold because civilization ended for all time.


akak's picture

 ".... you should be buying shotguns and canned food instead because it will be a Mad Max-type world."

And not just any canned food, but specifically, canned ham!  And don't forget to bury it in your backyard!




flacon's picture

Oh and you have to pay capital gains tax on it.

Hulk's picture

Why should we have to pay capital gains on what is essentially a devaluing dollar?


Hephasteus's picture

It's the mathematical formula

Fuck you = I win

MsCreant's picture

Oh, Oh, me next! They will COOOONFISTCATE it from meeee. Moooomeeee that Jackboot tookeses my GOOOOOLD.'s picture

Your gold isn't gold, it's tungsten, steel or lead.

Frank Owen's picture

The alchemists have nearly perfected turning lead into gold and then all your gold will be worthless...

Hulk's picture

Icelandic Volcano spewing rivers of gold....

fiftybagger's picture

Sir Alan Greenspan doesn't believe in it anymore

Hephasteus's picture

He's not really knighted. He just fell asleep at the castle and the queen grabbed the knighting sword to cut his apple up for when he woke up, and he was all like crying and so happy he was being knighted so they faked it.

knukles's picture

Yeah yeah yeah yeah....
And there's no reason under the sun that we, the New Peasantry serving the New Versailles should ever ever need or even want any gold for ourselves.  After all, the Powers that Be, their Central Banks and Monetary Authorities have all the gold we'll ever need on deposit for Us in some of the most secure facilities in the World.

Why forever would we even think of it being valuable by any rational, considered or even illusory, foolish, demented, insane stretch of the imagination?

They have and always will take care of us out of their own most significant Godless Statist Altruistic Instincts.

Relax.  It's only a sort walk from your bunk to the propagandavision screen.


Hulk's picture

Fuck you twice = (I win)^2

Devalue our money and then tax us for creating a workaround

Unfuckingbelievable... I have had it with supporting loosers

fiddler_on_the_roof's picture

That is the rules of the game being played. Our Forefathers were much smarter than as***les we have become - hence I am a Traditionalist. Money which devalues at x% against unit labour when deposited in bank is given (x-delta)% interest rate. So right there we will be loosing delta% every year. On top of that you pay tax for the (x-delta)% interest you receive. total con game.

DosZap's picture


Because you always PAY tax on income, no matter the source derived.

(Unless you are a Obama cabinet member,A Fed member, or  a Senator,Representative, or an IRS employee).Oh, wait, they just prosituted one of them.

Hulk's picture

I am planning to be the next treasury secretary.(Paulson saved roughly half a billion in taxes by becoming TS) Will be in charge of a half empty,pink piggy bank...

ColonelCooper's picture

You may count on me to be your first vote for confirmation.  And don't worry; your piggy bank will be plenty full.  Too bad it will be full of little IOU's scribbled on cocktail napkins.

caconhma's picture

<you have to pay storage fees>

Why? Bury it in your backyard.

After all, it does not rust (another way to know you have the right stuff).

Cyrano de Bivouac's picture

Burying in backyard is called midnight gardening.

MarketTruth's picture

And ummm... is gladly accepted as a form of exchange in MANY parts of the world as a universal currency (seriously, try it for yourself). In fact, you may indeed get additional discounts on goods/services when using gold as a form of payment.

Who else is from Prussia's picture

Fact: During WWII pilots were given survival packs which contained gold to barter their way out of a situation after they bailed out of the aircraft, no FRNs

Fact: Currently military pilots survival packs contain gold to barter their way out of a situation after they bailed out of the aircraft, no FRNs.

Sooo the government / military industrial complex thinks gold is better than FRNs too.

Treeplanter's picture

Somebody better tell timmy the tax cheat.


Exactly! Gold was even included in the survival kit for pilots in "Dr. Strangelove."

swmnguy's picture

"Shoot, a fella could have a pretty good weekend in Vegas with all this stuff."

Citxmech's picture

Best scene in the whole movie besides Slim Pickens riding the bomb...

maff's picture

It was originally "Dallas", later dubbed to "Vegas". Look at how his lips move when he says the line.

ColonelCooper's picture

It would take a pretty good discount to get me to spend physical while my cash is still good. 

trav7777's picture

you could, um, just turn around and buy more physical with the cash you still have

ColonelCooper's picture

That's the point.  Since I'm trying to accumulate physical, I'd have to replace it.  Better be a helluva discount to bother in the first place.

fiddler_on_the_roof's picture

I understand the sarcasm here, know it is preaching to the converted, but wanted to point out that only for holdings that lose value, should we expect interest. Assetts like Gold, Real Estate, commodities which hold value over very long time in terms of unit labour, we need not expect interest rates unlike currency bonds or savings account which are denominated in currencies. Currencies don't hold value against unit labour hence to compensate, we need interest.