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'Paper' Gold ETF Tumbles To 5-Year Lows
Last night we asked "is the paper gold selling over?" Judging by today's plunge in GLD - the biggest Gold ETF - to 5 year lows, it has a way to go...
For some context...
Charts: Bloomberg
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Got GOLD?
Yeah, and lots of silver. Look everyone, in 5-10 years forward from now we who hold gold/silver will be the ultimate winners. End of story. As of right now, I don't give a shit about these paper price lows, it's all nearing its end.
If this is true, then in 5-10 years there will be very few winners and winning will be defined by not losing everything. Not arguing your point other than to suggest that none of it is good for civilization. Stacking gold and silver bricks in our caves.
At least while sitting around in the cave one can grind the edges of the silver coins down and make Shuriken (Chinese throwing stars).
Peer to peer currencies have made gold and silver obsolete (especially as currency). The only roles they have left is just another asset class and industrial metal.
Keep telling yourself that all the while ignoring the legions of folks who will laugh in your face when you offer them bitcoins for something of value.
There's no guarantee that a monetary/financial collapse will coincide with a return to the dark ages or some sort of "simplification" where the cretons go around killing everybody intelligent, blaming them for all the world's problems.
It is within the realm of possibility that one currency (or many) will simply be replaced with another, and that most financial assets will go to zero in a debt jubilee. In this scenario, which in my opinion is the most likely, since commerce will always be necessary, it will be those holding paper/electronic assets who end up poor, and those with precious metals or other tangible assets (that are non usurpable) who end up not only retaining their wealth but expanding it.
While it is also possible that BTC will retain value if/when established currencies go through a transitionary period, that is by no means a safe place to be where you are reliant on electrical and Internet services which could potentially be nationalized and gatekeeped.
There are other concerns with BTC as well. The built in deflation algorithm means there is a cap for how many coins can come into existence. The closer we get to that cap the more resources it takes to mine the proof of work, and the less subsidies that will be available to go around. Thus the profit margin will shrink for miners, into the 99th percentile in the next couple decades, and it is likely that other alternative digital currencies will become more attractive before then. A mass exodus could be possible. In addition, due to the proof of work model it is theoretically possible for super computers (there are computers which run off of light instead of electricity which are millions of times faster than your gaming rig) to dominate the PoW space and potentially even blitzkrieg the blockchain with false transactions in a concerted effort. The safety of BTC is entirely dependent on the majority of PoW being handled by honest clients. Not to mention that as a truly free market there is immense risk of pump and dump and general market manipulation. Plus there is the fact that the blockchain tracks IP addresses of every transaction ever. Some people may be savvy enough to spoof their IP or use onion addresses, but in many cases an IP is enough to remove the veil of anonymity that is falsely associated with BTC, especially since you can't fake router logs. In actuality, BTC makes a very attractive option for a cashless society which is all part of the plan.
I would however temper expectatoins of 5-10 years. 2008 was 7 years ago now, and we are right back where we were then. The casino can go on for as long as people are willing to put money into it, and as long as people are willing to transact with usurious currency instead of real money. If we all opted to use precious metals as money as has been the historical norm (for good reason: inherent mining labor cost in money, divisibility, durability, fungibility, portability, can't print it out of thin air) there would only be enough money for essential government programs instead of funding too big to jail banks, big brother, socialism, and the war machine.
To those who believe a gold standard is not possible, that's simply not true. Due to the divisible nature of metals any amount of currency can be backed with any amount of gold. The ratio determines the value of the currency as denominated in gold. Having very little gold means the currency doesn't have much buying power, but it could easily be denominated in silver, platinum, copper, nickel, or even iron from a functional standpoint. If it is desired to lock buying power at a constant (elimination inflation and deflation), simply lock the ratio of currency to metal by creating or destroying currency as metal is acquired or sold. If the currency is weak then currency can be destroyed to strengthen it, but it really doesn't matter since everything is relative.
Gold and Silver are backed by a shovel.
Gold backed currencies rely on the price of gold being manipulated. If the gold price crashes so does the econmomy.
All value is subjective , as the economies of the world move into the digital electronic era industrial metals will not work well as money , in fact they are totally flawed as globalised , high-speed money.
Bitcoin BTChezzz.........
Jack N ...
by no means a safe place to be where you are reliant on electrical and Internet services
Clearly the doomsday scenario would mean a power outage and therefore no more internet … at least for a while. History has already shown that governments can and do shut it off when they feel the need. The Global Banking System is so dependent upon electronic business that any outage of the internet would be “transitory” unless there was a really good reason for it, like a nuclear war. In which case accessing bitcoins would be impossible and those still alive would be better off with tangible things to barter.
To those who believe a gold standard is not possible, that's simply not true.
Disagree because having a currency backed by gold (or anything else) means that the country cannot print. Unless there is a magnitude 12 earthquake in the thinking of CB’s and, therefore, governments, the concept of being handicapped by a gold standard is simply not happening.
Nevertheless, Central Banks do hoard as much gold as they can get. Invading armies, like the IMF and ECB (see Libya, Greece and Ukraine) go for the gold at the earliest possible moment all the while telling the sheep that gold is merely a trinket or barbarous relic. Nobody goes after paper money of a failed state for any reason other than novelty.
tl;dr: Afraid that I'm losing my shirt with BTC.
Answer: By math, theft or the usual stupidity, you were going to lose it all any ways, that's just the way it's built. There wasn't ever an option actually, but you will all certainly choose of your own free will with the given limited option of BTC which way you will go. Stay buried in the past forever, or move forward. Gold is dead. SIlver is dead. Platnium...lol...fuck, whatever man
Here follow along with me for shit's and giggles and it'll help put things in perspective:
Now...does everyone know where they really are yet? <giggle>
You can make wonderful electron jewelry with BTC...so light and versatile
Your peer to peer currency will be obsolete once the Chi-coms hack all the bitcoin exchanges and steal your "coins." Do you "store" the off the server? Great. Who will accept them after all this hacking and scamming ends? Wait. It will never end.
I think peer to peer crypto currencies could have their place and I would be lying if I said that I didn't have a little. But, it is new, volatile, more susceptible to hacking and theft and, unfortunately, after ga great propaganda push by the media and government, associated with drugs, kiddie porn and assassination for hire. I'll stick with money that has withstood millennia.... and it's not bitcoin.
Nevermind. I'm replying to a troll.
You can only win if you survive and the lords of the universe might not as bulletproof as everybody thinks.......
I guess we know why JPM cornered the commodities derivatives market; to drive the prices down;
http://www.zerohedge.com/news/2015-06-29/jpm-just-cornered-commodity-der...
For awhile.....
Got BITCOIN ?????
Ah it's getting to the point where making fun of gold fan bois is not entertaining any more.
No worries guys, I heard a coin swindler errr dealer is trying to sell some gold coins on ebay for $5,000 an ounce, so that's the real price. Yeah, that's the ticket.
Seriously though, for anyone who cares to actually get ahead financially, holding gold sucks. I am a firm believer in Austrian economics, but the ones I follow are all willing to admit you don't hold gold as more than insurance.
Insurance is never going to make you rich.
Meanwhile, I am building another rental duplex on a plot of land I own, which when completed will provide me with about a 9% return, after all expenses, and that includes the cost of the land.
So far I am using my own capital, no debt, but when you can borrow at 3% and earn 9%, it's tempting to take on a bit of debt, which I might do one of these days, but first got to get the latest building done and rented.
I've still got room to build 3 or 4 more units, which, since the land is included already in my calculations, could bring close to 20% returns.
Since I really don't like to see people be ruined financially, even the rabid conspiracy theorist types, I urge you to at least consider other alternatives that have nothing to do with stocks or bonds, and everything to do with real assets that provide income and allow you to add value if you have any skills at all.
That's great.
What will you do when you get a tenant who won't pay? Happens a lot more than you would think, and will happen more and more in the future as jobs continue to dry up and the student loan bubble pops (if you are renting to students). Then there is the damage they do, especially if you evict them. And major maintenence can be a bitch too.
Also, insurance sure can make you rich, especially when you can buy it when the house is on fire already (at a discount!), which is definitely the case with the PMs right now.
Oh, no, tmos, the "9%" return is after all those things have been taken into account, as well as increased land taxes when the government run out of other things to tax.
Same old tmos dribble since 1800 dollar gold. keep polishing the turd that is gold, yell troll and watch the decline continue
That's just part of the trouble. Taxes go every darn year. There's depreciation. The tenants leave damage that you must fix yourself or go in the hole paying contractors. Then, then! When you drag a deadbeat to court, the liberal, brainwashed judge sits up there and makes excuses for the tenant, like you're a bottomless pit of money. You never get any money out of broke turnips. With the way things are now, mortgaging that duplex and walking away in about 7-10 years makes more sense. Do it Trump style, in a corporation.
Somebody is counting their chickens before they hatch. Why don't you fill your apartments with paying tennants before you start bragging about non-existant returns. Lucky for you, I've never heard of anyone losing their shirt over real estate. /s
'I urge you to at least consider other alternatives that have nothing to do with stocks or bonds...'
Yeah, right, property has nothing to do with bonds.
Idiot.
I honestly dont f*king care anymore!!
I honestly dont f*king care anymore!!
Absoeffinglutely !!
Let me check my meager stacks... yup still real. Hmm.
I understand your sentiments exactly. My friends and family are pissed or thankful they didn't listen to me. We have about 7-9 more weeks of carnage to endure. I follow this guy- I embedded a link in a blog I wrote.
We will have our fucking day soon. http://thecivillibertarian.blogspot.com/2015/07/what-is-happening-in-pre...
People who buy gold and are worried about it's price in fiat are buying it for the wrong fucking reasons
I agree. But it won't last too much longer, my good doctor.
Before it continues to go lower and lower and lo.....
Wouldn't you gold guys be pissed if someone was just printing up baseless paper gold contracts to use
to manipulate the gold market? I would.
I sit on my little stack - I am out of the market, I try to get on with my life without watching what goes on in the metals every second.
Will we have our day? - I wonder that if we do there will be carnage, everywhere and some kind of 'special tax' or something we dont see coming.
I just have in the 'insurance' box.... just in case.
Meanwhile health and contentment is the best of living well.
I hear ya Kitty...
.
Im at the point where i feel i want to fight someone...but thats my own weakness too.
.
Zero Tolerence - a war is going on physically and mentally and most importantly - spiritually.
Let's compare gold to fiat long term.
I have some late 1800s and early 1900s gold German
20 Mark coins.
From the save year, how much are those paper Marks worth today?
I also have some French coins from same era. Same question as above.
I have also seen the gold $20 coins from a 100 years ago.
If your grandfather stashed away some cash in a box and you found it today, which would you prefer that he stashed?
$1,000 in gold $20 coins or $20 paper currency????
I know which I would prefer.
Would you rather have your grandfather’s gold or ‘worthless’ steel in the form of a Dodge Super Bee?
I have an 1800s pioneer california 1/4 dollar gold piece....its worth more than a quarter of a dollar.
RIPS
FYI its a great fishing lure...someday in the future i may again catch that huge fish with my coin.
I had a Dodge Super Bee.
Was a great investment.
This is so yesterdays news. For anyone that was listening it was forecasted years ago by Precious Metal Pete that the price of paper gold would drop and drop and drop to a point it started disappearing off the shelves. Looks like silver may beat it to the punch.
I'm just waiting for the next shoe to drop where a large China like crash happens somewhere in the West causing massive deleveraging in the paper gold markets. This will cause a rapid price crash like 2008 in gold. The miners cannot mine and all gold supply just vanishes off the shelves. Also, this time around the miners don't have deep pockets or investor funding to weather the storm. They're already running on fumes. This is when it will get interesting, very interesting!!
Until then grab a cold beer, sit back in the lawn chair and watch the show unfold.
$TNX:!PRII Weekly
http://schrts.co/Omk6tv
Here's hoping they can hold it here or drive it lower for the next few weeks/months, as I have some fiat coming in. Looking to cash in on the Schmita in September.
Naw, it's still got lots of room to fall to 0.
What about negative? Nobody thought interest rates could be.
Great. Point.
I'll just make a note on that for a piece of 'speculative' fiction I'm currently writing. There is lots of room for all PM's to literally fall through the floor on price, and never recover their value. It'll make a good character motivator for a chapter coming up that I need to write and help highlight survival of the tenacious. When the economy in the book is flattened and the only financial life preserver available that is still functioning is BitCoin.
Thanks man, saved me a morning thinking about how to shove my characters into flight mode.
Looks like an almost perfect wave 2 retracement. Entry point can't be far now.
LOL! Yeah...whatever.
Probably a good time to buy. Buy the low assets and dump the high ones.
At the same time, hard to beleive NFLX is 650.
Bank depositors threatened with haircuts as in Cyprus, bonds having negative or zero yield, $11 trillion printed in QE, and yet gold is still falling. Will miracles never cease?
Just goes to prove that gold is not what is used to be , and never will be again.
I just looked at my ounces. They still look the same to me.
It's not weird to pull out your Krugerrands and Eagles on occasion and fondle them, is it? Is it?
Depends on what else you're fondling at the time.
Same to me too :)
Itchy fingers....
We all have a very short attention span. Do we remember what happened to 401k,s and the price of gold then? since that time have things gotten better? No they are 10 times worse. So if anyone thinks we will not have a repeat of what happened back then especially with all the manipulation you are a total dumbed down moron
Man, I am so Jonesing to buy right now. I could give a shit about predictions, my course has been set for some time.
Comes down to gold/silver, guns/ammo, food, summer fun.
Shit.
fill yer boots!
I have some of that shit in my 401k, can hardly stand to look at it - I try and tell myself it'll bounce if everything else tanks, only thought that makes me not dump it. I'll dump it if it bounces at all, though. Crap fund. Random 3rd poo reference.
Baron Rothschild
"Short when there's asbestos in the towers and a false flag comin"
-Bankster Neocon Chickenhawk Cocksuckers
What was Lucky Larry's ROI for that few million he put down on the towers? WTC gets privatized, he doubles his terrorism insurance and abra cadabra... A few months later the asbestos ridden white elephants go poof and turn into a $4.5 billion insurance check.
https://www.youtube.com/watch?v=3xVqnZPfOWo
Frank Lowy did pretty well on that deal too:
https://wikispooks.com/wiki/9-11/Israel_did_it
You have a gold fund in your 401k? Hell, I thought I was the only advisor who put a fund like that in the plans they manage. Maybe you're in one of the plans that I manage?
the only good "gold fund" where 401k is concerned is when you take the ephemeral and turn it into reality
I'm not sure if that make me feel better or worse - if there was a way to buy physical w/ my funds, I'd have done that.... Did not see a bullets and butter fund, maybe they should add one. Freeking fidelity!!
If it comes time to dump it, what you will be dumping it for may be rapidly losing value.
Good, keep hammering paper gold. My fiat will buy more insurance at a cheaper price.
... until it doesn't.
What happen from 2009-2011. That is not happening from 2012-2015 ?? There is no logical reason for Gold to have performed like this other than QE3 fake money was used to monkey hammer it. Whoever is doing needs to be executed.
Hear Here...and with Malice@!
RIPS
Can't think of any reason why GLD won't hit the 2008 lows.
... on its way to the 2005 lows.
After a dead cat bounce, I'm still leaning toward the idea of $681 for spot Gold, and 66 for GLD, for a low (Elliott Wave previous Wave 4 support).
I don't see comments around here like "back up the truck " I saw back awhile ago, and I'm seeing less of "keep stacking".
Near the low, there should be NO positive comments about gold..
Cat's have been getting the worst out of this economic disaster.
Shit bust it down to $250 an ounce and sub $5 for silver. Do that, and the only gold and silver to be found will be made out of paper.
I would like to see paper gold reach its intrinsic value: $0 (even in shit-dollars)
And the sooner the better
Throughout history, gold has never been an "investment", it's been a medium of exchange, just like fiat.
And yet some people don't understand this simple fact.
Throughout history, quite a few people have been killed for their gold. Of course people have been killed for their Nike shoes too....
More accurately, those people were killed for their medium of exchange of the day. How many people today rob a bank and demand their gold?
That's why dick-head FDR made everyone turn in their gold, so stupid people like you would want printable worth-less paper instead of gold.
Thing is, you can´t print phyzz...unlike the fiat currencies being printed into increasing worthlessness today.
Gold is just as worthless as fiat. Both only have value because people BELIEVE they have value.
As a useful metal, gold is practically worthless. There isn't much you can make with it that has any utility. But it is shiny.
Why is it that Countries have stockpiled it over the last 150 years, why are countries repatriating it back to their home turf(ie. Germany).
You have not read your history books.
True.
The real thing going for gold, or copper for that matter is that it cannot be made out of nothing, unlike fiat.
Gold is honesty incarnate.
Fiat is dis-honesty incarnate.
Bullshit. You are a liar or an idiot.
What the hell do you think monarchs kept in their treasures??? Fucking bonds???
I guess your history start somewhere in the early 20 century.
The monarchs kept the medium of exchange of the day.
Salt was used as ancient currency in some areas. Shells were used in Africa and beads in North America.
Revisit your Aristotle.
You forgot that a genuine medium of exchange required durability; The King hoarded the one that would survive the pins and arrows of outrageous fortune, while demanding his subjects use the 'medium of the day'.
Far beit from a modern prejudice, Plato actually says so in 'Republic'.
So, there, I denied it.
The King hoarded the medium of the ages, and demanded his peasants use the medium of the day...because he could call it in at the end of the day. That is what it was (and is) for.
And that is the difference between Currency (medium of the day) and Money (medium of the ages).
Bitcoin will liberate the gold market. ;)
Bitcoin has antiquated gold, silver, seashells and tulips.
On its way to $500...
Long bottoming process since the bubble burst in 2011.
If it does not extend, it is probably bullish. The gold price to base money ratio is well into absurd reverse bubble territory. If it breaks support and does not extend, it is probably in the basement. But I am just another dude on the internet with an opinion.
Did they locked up buyers???
Our economy is like Joe that lives on in "Johnny got his gun", it can't live or die, just stays the same in its vegetative state.
"I haven't got anything. I'm just like a piece of meat that keeps on living."
Metallica "one": https://www.youtube.com/watch?v=WM8bTdBs-cw
Gold follows bond prices. It's all based on bonds. It is simple and not interesting.
I know a guy who says he's keeping his physical but is using these lows and dips to document paper losses so when the confiscations begin he will have docs to show it is already all gone. No boat required.
In the past week, I have swapped FeRNs for twenty 100 ounce Royal Canadian Mint silver bars.
The only things left standing among the crispy critters in the twisted smoking financial wreckage will be physical gold & silver, protected by lots of steel & lead.
You probably bought too soon.
Should have waited until AFTER the proposed interest rate hikes. The prices of PM will take a significant dip.
However the price of silver will hold up better than gold. About 50% of the annual production of silver goes to industrial use, so there is a steady demand, supporting the price becasue inventory NEEDS to be replenished.
However, very little gold is used industrially, and the rest is simply added to the vast amounts already in "storage". The annual production of gold is about 2.5% of existing worldwide stocks, and the majority goes into bullion and jewelry, so even if all mining shut down, there is still enough gold in the world to service industrial supply for hundreds of years. The rest of the price of gold is simply greed and desire. Just like fiat.
"Interest rate hikes"
I didn't think anyone still swallowed that hogwash.
100 oz Canadian Mint bars are $2161 Canadian right now at Cache...where do you deal?
"Paper" in quotes suggests that the real price is higher. Gold dealer in my town has all the physical I want for $55 over that paper price. So it serves a purpose eh?
"Paper" in quotes suggest no such thing. It suggests massive manipulation and that is well documented.
If hamburger has a paper price of $3/lb but no butchers in town have hamburger, the paper price is manipulated. There is absolutely no shortage of physical billion now at the "paper" price.
So I guess by your estimation these are all liars:
-- Was the Banque de France's director of market operations, Alexandre Gautier, telling the truth when he told the London Bullion Market Association meeting in Rome in September 2013 that the bank is secretly trading gold for its own account and the accounts of other central banks "nearly on a daily basis"? (See: http://www.gata.org/node/13373.)
-- Is the Bank for International Settlements telling the truth when it maintains in its annual report that it does the same sort of secret trading on behalf of its member central banks, trading not only gold itself but also gold futures, options, and other derivatives? (See:http://www.gata.org/node/12717.)
-- Is the BIS sincere when it advertises that it undertakes secret interventions in the gold market for its members? (Seehttp://www.gata.org/node/11012.)
-- Was CME Group, which operates the major futures exchanges in the United States, telling the truth last year when it told the U.S. Commodity Futures Trading Commission that it is offering volume trading discounts to central banks for secretly trading all contracts on its exchanges? (See http://www.gata.org/node/14385.)
-- Was CME Group telling the truth last year when it told the U.S. Securities and Exchange commission that its customers include governments and central banks? (See http://www.gata.org/node/14411.)
-- If central banks are indeed doing so much secret trading in the gold market and other markets, what are their objectives and might this secret trading be intended to manipulate markets, support government currencies and bonds, and deceive and cheat investors who think that markets are free trading?
The physical must be supplied to the fraction that insists on delivery no matter what the cost / loss to provide it. The ponzi goes down when the phyz cant be supplied. Considering the ponzi is an inverted pyrimid of 750 trillion resting on a point of gold shows how important it is to keep the phys supplied at the margin. A key factor to the ponzi is to denigrate pms to the point that the demand for delivery is lower than the supply. Supply is generated by acquiring (stealing) from countries in no position to defend, either economically or militarily. Demand is damped by fear (of further downside) and manipulation. Soon the supply will be locked up in strong hands (China, Russia etc) and the (useful) ponzi will be allowed to expire.
Remember when Goldman Sachs borrowed Venezuelas newly repatriated gold for 3 years. That was, maybe?, 2 years ago? GS knew that by that time there would be no need to deliver nor recipient to collect on the loan (ponzi over). What about India using official gold stores to supply the country's huge appitite for physical while replacing it with U.S. FRNs supplied by Fed, JPM & GS in order to meet phys demand with current supply. Iraq, Libya, Cyprus, Mali, Ukraine - all couped out of their gold. So many shenanigans to supply a barbarous relic.
Gold will be supplied at paper prices until they run out of suckers to get it from. Soon, those without gold or tangible assets will only be buying paper burgers with their paper wealth. Good luck with that.
Great response. Thanks. We'll see.
All hell must have broken lose in China by the looks of things.
Does anyone stack platinum at all, thanks for any elaboration. I'm picking up another 10oz silver today ;-)
Platinum and silver are both important industrial metals. Their prices are stabilized becaue of their industrial demand.
Gold on the other hand has almost no industrial demand, just personal desire. It's price will swing depending on public sentiment. Even if all gold mining stopped today, there is enough gold in the world for many hundreds of years of industrial demand
Nice, you'll only lose $40 over the next six months. Of course, only if you sell.
In time it'll be a wise investment.
If the shit hits the fan such that paper currencies become worthless, a well-stocked arsenal will be worth much more than a useless piece of metal (like gold or silver).
@chosen: keep flying that backwoods inbred flag and you'll be needing that arsenal you're bitchin about! Racist turd...
Fuck you ya judgemental ill informed prick! Secede Texas!!
yeah, try and secede with Jade Helm about to mow your inbred toothless azz down! The slaves will win in the end BEAAATCH!
I like to fly the battle flag because it pisses off idiots.
@chosen: inbred cave people will never evolve, so its ok Fly it as freely as you want pill popper
I love it when idiot trolls dbl post and don't have the sense or etiquette skills to correct it. So now I get to red arrow you twice. btw, stii Fuck You ya regionalist prick!
One of the problems with freedom is you are required to deal with others freedom that clashes with your own ideas. I am seeing more Confederate battle flags in the breeze around here than ever before.
@chosen: inbred cave people will never evolve, so its ok Fly it as freely as you want pill popper
I love it when idiot trolls dbl post and don't have the sense or etiquette skills to correct it. So now I get to red arrow you twice. btw, stii Fuck You ya regionalist prick!
One of the problems with freedom is you are required to deal with others freedom that clashes with your own ideas. I am seeing more Confederate battle flags in the breeze around here than ever before.
Silver will still be useful for werewolves.
When the price of gold is measured by the amount of beer it will buy, the current price is a little above the historical average.
https://twitter.com/ChrisDHamby/status/619589266855870464
The price of beer is manipulated. Must keep the masses in their cups.
I bought my first gold with bitcoin profits last week. Gold plunged thereafter. I'm kind of snagletoothed about throwing good money after bad. I'll diversify a little more but bitcoin is proving to be the real store of value.
Bitcoin a store of value?
You mean $290 today, $650 a year ago, $1200 two years ago?
$5 four years ago.
So how is that a "store of value" TODAY?
Can you buy more bitcoin at $5?
Can I buy Berkshire Hathaway at $40?
I tried to buy a loaf of bread with bitcoins, but nobody would take them..
--buddy can you spare a dime?
I tried to buy a DVD with an American Eagle and was turned down with their security called. At that time gold was about $1300.
Took a fiat twenty though.
I would rather eat the bread than the DVD.
I'm not so sure I would call 01010101 good money.
Digital money is useless without digital hardware. It's a central bankers wet dream,,, fiat without the expense of printing and the control it would have is mouth watering.
BC is being held high for the same reason gold is being slammed.
If you like BC then I would suggest to continue holding both, regardless of FRN pricing.
Iron ore prices look like they're trying to stabilize around the $50.00 level and the China macro was good last night. Even though their equity markets are selling off, it's a good thing as they're coming back into line with reality. If the Greeks get a deal done that will pressure the $usd
I wouldn't be surprised to see some commodity buying over the next 48hours. (gold, silver, oil) The $usd is also overbought, and if the U.S. employment numbers come in crappy tomorrow it could exacerbate the squeeze.
Western economies dying the death of 1,000 cuts.
These ingots are still shiny. And they're still thermoconductive like a mother fucker. You can have your paper.
The price of precious paper is being forced down for one simple reason: the protect-the-dollar game is rapidly falling apart and the discrepancy between supply and demand for real metals in the real world is now very, very close to the breaking point.
The entire futures market will soon be forced to default, while citing a 'force majeure.'
In this instance, they will be forced to settle openly in cash ---therefore, they naturally and fervently hope to push the price down by any (illegal) means possible, to as low a level as possible.
Ironically, at the same time, this very process will accelerate the vacuum-cleaner effect and, in the next few weeks, produce panic buying of actual metal across the globe.
Yes
Now here is an occasion where one really should BTFD.
Actually, there isn't much of a dip in the real world; premiums are rising in compensatory fashion.
Yes suppressing the valu of PM's is the CB and Fed part of the Ponzi scheme. But like Madoff's scheme they will discover that sooner or later it will unravel. Then PM's will become the last island for salvation. I don't know about Bitcoin, but I am afraid that need be, the governments will cut the power supply to that computer.
G/S 76:1
Gold is either over valued or silver is massively under valued.
With no significant above ground stock piles, miners down and out, I'm starting to think silver is where the PM war should be waged.
....Or it could be they are both massively undervalued or both just shiny rocks.
The recent historical ratio is 15:1. You don't have to be a math major to calculate how seriously distorted the market is. And gold has been seriously suppressed to far, far below actual market value. In fact, taking this ratio as a clue, we can make an educated guess that, without central bank intervention, gold should then also be roughly five times its current price. Meaning that, given the, currently, highly unstable global conditions, gold should have reached roughly $5800 an ounce by now, and silver therefore something like $387 per ounce.
But this does not reflect a truly global rush into precious metals if another '2008' crisis erupts --or if a precious metals shortage is truly realized by the public-- which, this time, will be effectively apocalyptic.
Gold is good; but buy silver first; the snap-back in term of purchasing power will be truly breath-taking, even before the year is out.