Will Gold Make It 9 Out Of 9?

Tyler Durden's picture

For the past eight years-in-a-row, that worthless yellow barbarous relic that some call 'Gold' has outperformed the 'precious' Dow Jones Industrial Average (even with the constant DJIA re-indexing where the losers are quietly taken out back and shot). As we enter the last day of trading in 2012, Gold still holds a slight edge +6.3% on the year vs the Dow's +5.9%. Will 2012 break the record-breaking run? Or will Warren Buffett's nemesis once again outperform equities and with lower volatility - just a few more hours to find out...


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Thomas's picture

Go for it. By the way, Buffett is a hoser. He acts like a sweet little old man, when he is really an insider--the Mafia don walking around in his bathrobe to look harmless. What a weasel.

Dan The Man's picture

lol...hoser...good one...eh

Thomas's picture

Red bull thread jump. Chris Martenson and I discuss a host of weasels including the Buffett character http://www.peakprosperity.com/podcast/80364/david-collum-headed-for-show...

Quinvarius's picture

That is one of Martenson's better interviews. 

AlaricBalth's picture

From "The Triumph of Gold" written in 1961 by Charles Rist.

"Discussing the depreciation of the dollar since 1939, the National City Bank in its "Monthly Letter" dated December 1951 made the following pertinent comments, as, true today (1961) as they were then:
"Gold has had the best record over centuries as a store of value (a vital function of money which many economists nowadays forget). Paper money has been good when issued by banks which have been under a legal obligation to maintain convertibility into gold at the option of the dollar. . . . Paper money directly issued by National Treasuries has the worst record, though money can be just as bad if it is put out by a bank of issue which is free from the necessity of maintaining gold convertibility and bonds to the
wishes of a profligate government for cheap financing. Most of the worthless currencies issued in foreign countries during and after the war bore the stamp of a corrupted Central Bank of issue. "

Buckaroo Banzai's picture

C'mon guys-- 30 posts in, and I have to be the one to say it??



glenlloyd's picture

weasel is one of my favorite words....

Thomas's picture

I was taught by a lawyer to use phrases that couldn't possibly be true. Never call Buffett a pedophile, junkie, thief, crook, etc. They are all demonstrably true or false. Phrases like weasel, hoser, dork, lizard-brained monkey, slime mold, etc are court-free concepts.

Blizzard_Esq's picture

Yes the statements not be true or false, but an opinion, couched in hyperbola or figuratively so as not to be taken seriously. 

TheFourthStooge-ing's picture

I wonder if Doug Kass will make another year-end prediction for $600 gold like he did two years ago. (I don't recall him even mentioning gold a year ago in his predictions for 2012).

As for Buffett, just once I'd like to see him and Charlie "Sleestak Magoo" Munger appear on CNBC in their normal, everyday state: sitting in executive-class geriatric playpens, attired in bibs and soiled diapers, as illegal immigrant nursemaids feed them their strained prunes.

malek's picture

Doug Kass ridiculous prediction notwithstanding, this is the first year gold has not kept up with SGS-inflation and perfmrmed not a lot better than the DOW, since 2004...

A CIGA just sayin'.

sudzee's picture

Prediction for 2013.
Buffet places order for 20,000 cattle cars to transport sheeple to FEMA camps.

Thomas's picture

My 2013 Prediction: We will witness aggressive central bank intervention. 

My work here is done.

Bad Attitude's picture

Gun and ammunition prices will reach new record prices, driven by the words and actions of opportunistic politicians, and by the public's uneasiness with where the economy is heading. We truly live in interesting times, and it is only going to get more interesting.

KnightTakesKing's picture

I was at the Gun Show in Chantilly, VA this past weekend... the record prices are already here. 5.56 green-tip ammo that used to sell for $420 per 1,000 rounds was selling for $1,000.  AR-15's that were selling for around $1,000 were selling between $3K and $4K. Magpul 30-round mags that carried a retail price of $15, were being sold for $70.

I only hope this was the peak and prices return to "normal" in 2013.


Composter's picture

i know it's just a metaphor, but all weasels do is sneak in to the chicken coop via holes dug by ground squirrels - and EAT MY CHICKENS.


what WAS he doing meeting at Offutt Air Force base with Bush admin personnel on 9-11 ?  a "Charity Event" - that's the official story.

gmak's picture

As a Canadian, I resent being lumped in with Buffett - as do all hosers everywhere. 

Dan The Man's picture

Chart this back to 1913.  Might be interesting.

AU5K's picture

And use the stocks that were in the dow in 1913 too.....

qqqqtrader's picture

...and add the dividends for a true comparison

caimen garou's picture

 don't matter to me which one performs better in these crooked markets.lets see which one stands up to the fire and water test, yes there is only one that is not a pile of ashes!

Sudden Debt's picture

I'm rather interested in what gold will do in january when the US people will cry like babies to Obama to print another shitload of paper to keep the apple dream alive.

my options jumped another 60 cents up today, so let's hope it does that every day for the next month :)

please santa, make it happen :)
I'll drink more coca cola if it does! I'll even force the kids to drink more cola!!!!!

LongBalls's picture

The world is seeking hard assets. It always has, it always will. Will gold have up's and down's? Yes. Will gold's value remain through out the generations? I would say it has a better shot than a piece of paper with pretty pictures owned by a dying empire aided by a sliding social and lawless political class.

Pool Shark's picture


Interesting article on the value of silver over the last 2000 years in terms of wages/prices:


If you take the five dollars that Henry Ford was paying his workers for a day's work in 1914; the silver in those five silver dollars would be currently worth over $115. Today, that's an hourly wage of over $14.00. Those five silver dollars have held their 'value,' while in terms of FRN's; five 'dollars' will barely cover a Big-Mac Meal at the Golden Arches.

What's in your wallet?

[Edit: if Henry Ford's workers had taken the $5 they were paid and simply bought 10 ounces of silver bullion (selling for around $0.50/ounce at the time) today, that day's wages would be worth over $300.00, or $37.50/hour.]

AlphaHunter001's picture


one can't compare historic values of silver/gold to today. we are in a completely different time period.


that's like charting the number of horse and buggies vs. gdp and coming to the 'conclusion' that because we have fewer horses used in transport today in the economy today vs 1902, today is 'weaker' economy LOL... those old metrics don't work...


people used to use silver as money, but now no one buys anything with silver... although one can make the argument that the next real currency will be bitcoins (or something similiar) since I can actually use them to buy stuff right now (and so are Iranians for that matter)

Pool Shark's picture



I'll tell ya what: you hold on to your FRN's and come back in a decade or so and let us know how that worked out for ya, m'kay?


Lewshine's picture

...And imagine IF metals were left to trade without the pursuasions from the Fed's henchmen, JPM chase!!



firstdivision's picture

Well if there is no deal on the US Fiscal situation, FB will be $40...if one were to take today's price action into account.

debtor of last resort's picture

Maybe the physical/paper ratio will become 'more' important in 2013. Something like 1:50.

espirit's picture

Being more of a silverbug than a goldbug, my New Years wish is a run back to $27 for another truck load.

7 - 17 - 27 - 37 - 47  Huh! Rangebound. 

espirit's picture

Uh, I mean't "boatload".

Pool Shark's picture



Still contributing to 'mineral deposits' at the bottom of the lake?

Cpl Hicks's picture

So.... what's a good price range to sell my silver in 2013?

46? 46 1/2?

At my age I can't afford to be too greedy.

espirit's picture

Sell?  That infers you got some.  I keep overloading the boat and she capsizes.

fonzannoon's picture

some guy just said that gold will be down next year. when asked why he said 'becauase it should be higher right now". that is the stupidity being put forth.

Pool Shark's picture



This isn't surprising, given that gold isn't backed by anything:



Getting Old Sucks's picture

They'll do whatever it takes cause the USA doesn't really have any gold.  That'll be the super story in a few years when they finally admit it.  Notice the super rich stocking up this year though

John Bigboote's picture

If the wrong banker sees this article, it won't. Please stop taunting these assholes.

PlannedObsolescence's picture

The abandonment of the gold standard made it possible for the welfare statists to use the banking system as a means to an unlimited expansion of credit…In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the govt would have to make its holding illegal, as was done in the case of gold… The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.

                This is the shabby secret of the welfare statists’ tirades against gold. Deficit spending is simply a scheme for the “hidden” confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights.


Alan Greenspan- 1966 BC (Before Corruption) “Gold & Economic Freedom”

Stuck on Zero's picture

A sure way of protecting yourself is to work for the government - in the highest and most corrupt position possible.


MsCreant's picture

So are you planning on running for president?

Pool Shark's picture

I think Zero is eyeing Treasury Secretary.

[emphasis on 'most corrupt' over 'highest']

Go Tribe's picture

I want Tyler as Treasury Sec.

lasvegaspersona's picture

Once again....because the first twenty times it did not get through....Keynes called the GOLD STANDARD (not the metal itself) a barbarous relic. 

Temporalist's picture

Gold is a 10!

Gold goes to 11!

Gold is the new gold!

One gold in hand is better than two gold in the bank.

Clint Liquor's picture

That is funny.  

Gold, it's good as Gold!

Gold, it's the new Gold Standard.

A. Magnus's picture

Gold, Bitchez! I feel so strongly about it that I set it to music:


Cpl Hicks's picture

You're trending on social media!

You're going VIRAL!

GB's everywhere feel that you feel so strongly and we all want to be your BFF!

I want to like you on fb, too.