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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Jim Willie CB who wrote (8075)2/13/2004 6:12:57 PM
From: orkrious  Read Replies (2) | Respond to of 110194
 
Date: Fri Feb 13 2004 15:03
trotsky (HK@physical metals) ID#377387:
Copyright © 2002 trotsky/Kitco Inc. All rights reserved
i think everybody should own some as an insurance policy - also, they're nice to look at. but the shares will provide the better return...always have and always will.
note that even in past times of extreme upheaval ( breakdown of entire money systems, world wars, etc. ) the shares produced the better returns.
this is btw. ESPECIALLY true in a deflationary era, because the metals should exhibit more of an increase in purchasing power than an increase in nominal terms. however, the shares are more likely to provide large nominal gains as well, as their dividends and earnings will rise - see HM during the 30s when the PoG was fixed, but their cost of production fell dramatically ( i.e., the purchasing power of the gold they produced rose sharply ) .