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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Crimson Ghost who wrote (20325)	7/21/2007 8:56:00 AM
From: elmatador	Respond to of 218659

If USD drops Gold goes up because it is priced in USD. Say you will use this Gold to exchange for another good. To avoid using more Gold to get the same amount of that given good, the price of Gold has to climb. But you still get the same amount of that good. Now if Gold was price was measured using a basket of curencies, then, if Gold would increase it was having a real increment in value. Increase of the price in USD is like pedalling to stay in the same place.

To: Crimson Ghost who wrote (20325)	7/21/2007 6:10:13 PM
From: TobagoJack	Respond to of 218659

<<Unless global CBs start to aggressively tighten monetary policy ...>> ... they will tighten eventually, after the biblical and systemic collapse that wipes out a whole lot of folks - for that is in their mission statement ;0/

To: Crimson Ghost who wrote (20325)	7/21/2007 11:10:27 PM
From: John Vosilla	Read Replies (1) \| Respond to of 218659

'Gold still is VERY cheap versus financial assets, real estate, and other commodities.' A very important point. Seems like gold is up 300-400% since a normalized price around $150-200 after gold adjusted to the free market around 32-34 years ago. What has every other asset class done since that time? Perhaps you can find RE in depressed rural areas of the heartland that went up by such a small percentage. Most everything else I've looked at seems to be up 10-30 fold..