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To: NucTrader who wrote (378439)	11/24/2008 11:24:15 AM
From: stan_hughes	2 Recommendations Respond to of 436258

It isn't about gold per se, it's about not being in fiat paper -- gold just happens to be the best combination of investment accessibility and limited supply And for me, gold isn't for bribing border guards, nor is it the only answer, e.g. everyone knows you can't eat gold any more than you could eat US dollars -- but I'm seeking it's 5,000-year-old proven track record of maintaining some intrinsic value until the next fiat system comes along -- it's a tried and true wealth repository, irrespective of any short-term trading noise As for diamonds, FWIW I've never liked them. I might agree with you about holding diamonds if it weren't for the fact that industrial grades can now be manufactured, and that jewelry grade stones in general have for many years been grossly overpriced courtesy of a diamond market controlled by the DeBeers global monopoly -- in a post-credit world, or at least one of greatly reduced available credit leverage, DeBeer's influence on prices may wane and diamonds could well gravitate toward their true scarcity value, where prices would (and arguably should) fall to substantially lower levels than they trade for now -- so no thanks It's not an emotional choice or preference, it's just the simple arithmetic of gold as an effective physical constant -- I prefer the certainty that exploding quantities of fiat divided into a comparatively fixed amount of available above-ground gold means that gold expressed in terms of that fiat currency must rise -- over time it can't possibly do anything else but