About gold going to $10,000 - lets say gold goes to $2500 in late 2011, and then stays flat until 2018 when it goes to 5000, then 2019 (ten years out) it goes to 10,000, then drops the next year to 8000.
Will we be able to buy more (real estate, silver, oil, whatever) with the 2500 gold in 2011 than with the 10,000 gold in 2019 ?
Not many prices have kept up with golds move this year - (Apple stock ?) but godl could slow down an other assets move far ahead, with gold playing catch up very late in the game.
If we could read the future better, we might want to cash in a certain fraction on gold positions at 2500, instead of holding EVERYTHING waiting for $10,000 (And 10,000 may be the 'right' price, it could just happen much later)
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Another view of this is there may be items, like seat on the gold exchange, which are overpriced at one time, but available, and 'correctly priced' at a different time, but none will be for sale... |
